FAST FIVE: Hurricane Cleanup Will Stimulate The Economy? Not So Fast!

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I'm referring to the “broken window fallacy” first explained by French economist Frédéric Bastiat.

Imagine that somebody throws a rock through a shop window.

Everybody must live, and what would become of the glaziers if panes of glass were never broken?' You see, the shopowner's misfortune is the glass fixer's good luck.

It becomes even more clear when you magnify the destruction to the level produced by Hurricane Ian.

Roofers, builders and others will make a lot of money.

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