HahYuhDooin?

Don McIntyre's blog. See www.donmcintyre.com

11/27/2011

Take this one-question test learn your basic economic philosophy


Scenario:

You are one of 101 people living on an island. No one can leave the island and no new people will arrive. The 101 of you will establish the island's lifestyle and economy for the foreseeable future.

Resources (money, goods, supplies or other barter for trade) will arrive on the first of every month from some mysterious unknown source.

You all must vote for one of the following two options. Which would you prefer?:

1. Each month, $10,100 worth of resources will arrive. The resources will be distributed equally. Each person will receive $100 dollars worth of resources each month.

2. Each month, $12,000 worth of resources will arrive.

  • The resources will be distributed equally, with two exceptions. 99 of you will receive $100 each month, while two of you - the same two people each month - will receive $1,000 each month. 
  • The two who receive $1,000 a month will pay a fair hourly wage to anyone who wants to work for them, for as many hours as they wish to work. Thus, those who want to earn more than their $100 per month will be able to do so, by working for one or both of those who have the most resources.
  • Both of those who have the most resources will be completely free to hoard what they have, or invest in the services or of others, as they see fit.
One last factor:

Every three months, the "mysterious unknown source" will adjust the amount of resources it sends each month (and thus the percentages each island inhabitant receives). If the "mysterious unknown source" sees that the island is being faithful and productive with the resources that are being sent, it will raise the amount. If not, the amount will be lowered.

Choose #1 or #2, then read the following:

If you would choose #1, you are closer to being an economic progressive/socialist, are more likely to support the rhetoric of Democrats.

If you would choose #2, you are closer to being an economic conservative/capitalist, are more likely to support the rhetoric of the Republicans.