Monday 9 April 2012

A fundamental error in Austrian economics!

Earlier today I started to read the excellent pocket-sized version of Man Economy and State along with Robert Murphy's Study Guide to the great work.

Imagine my shock when I came across a fundamental error.

CLICK to enlarge:

Line x4 on the left hand diagram should be one row down, i.e. one line below Y3!


Thank goodness my forty-year-old version of the great work had things correct, otherwise I might have given up 2% into the book and never have become a libertarian...

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