Gingrich says he's considering presidential run

[Imran Siddiqui]

You are the one who doesn't get basic Econ 101 oppertunity cost.

[Kidlicious]

I'm not doing this one anymore.

[Al B. Sure!]

Kidicious, stop, it's okay if you made a mistake. But trust me on this: you are wrong. I thought I explained it as well as I can but I can't. Please re-read over what I most recently quoted from wikipedia and from an article in the online encyclopedia of economics (the Stanford professor one). Hopefully you can understand those and see how it supports the case others and I have been making. It's cool if you made a mistake (ShaneWalter did the same thing) as long as you learn from it. No one (well maybe HC) is going to point and laugh at you later for misunderstanding opportunity cost.

And I already have my degree (and yes, it's a business degree). I've been out of college for 2 and half years now.

Oh and the funny thing is I'm not sure exactly what you were trying to get at to begin with (I think that tax and spend is good during a recession), but I kind of said earlier that depending on a number of different variables, it could be that spending (though I'm not so sure about the taxing) could have a beneficial effect on the economy. You could be right but circumstances have to be right for the Keynesian multiplier to have a significant effect.

[Kidlicious]

Al B. Sure!,

You're a nice guy. I like you. I apologise for insulting you.

Listen. I'm going to tell you the same thing you told me. You are wrong. I know it seems like you are right, but you just aren't. I know you have a definition there and it's giving you a false confidence in your opinion. Do yourself a favor and let me explain this to you one more time in a different way. I think I know what it catching you up.

To start I'm going to ask you two questions. The answer to both of them is no. But before you read the rest of my post think about why the answer is no. Also, open yourself up to the possibility that you are wrong, not matter what you are reading on the internet. If you don't open yourself up to the possibility that you are wrong you aren't going to get it.

These are the questions.

1) In the first example that you gave regarding someone going to college and forgoing earnings did you count the opportunity cost of the tuition that the person paid?

2) In the example that I gave regarding the business that owns a factory and makes either product x or y would you count the opportunity cost of the wages that the business paid?

Now THINK! Don't read anymore until you understand why the answer to both of those questions is NO.












Now, the equation that you insist means that the cost of spending = taxes plus opportunity cost (Economic Cost = Accounting Cost + Opportunity Cost) is a good equation when there is an opportunity cost that needs to be added to the accounting costs. But there isn't always an opportunity cost to add. So sometimes Economic Cost = Accounting Cost.

Take the example of someone going to college, but instead of figuring that the person forgos earnings let's say the person doesn't want to work anyway. If they don't go to college they are just going to live in their parents garage. If this is the case there is no opportunity cost to add.

Take the example of the business that makes product x and y. Instead of the business owning the factory let's say they rent it. In that case there is no opportunity cost to add in because the rent is added into the accounting costs.

I hope you get it now. Don't be a bonehead like Imran. I've debated Imran for probably over 10 years now and I don't think he's ever learned a thing.

[Imran Siddiqui]

If Kidicious thinks I've never learned a thing, that must mean I'm a genius

[Straybow]

I'm pretty sure that everyone considers the opportunity cost of the tuition. It is an investment, and therefore one would consider opportunity cost. Opportunity cost is, in essence, the only reason why anyone doesn't go to college.

[Kidlicious]

I'm pretty sure that everyone considers the opportunity cost of the tuition. It is an investment, and therefore one would consider opportunity cost. Opportunity cost is, in essence, the only reason why anyone doesn't go to college.

No dude. You consider (meaning add in) the tuition, not the opportunity cost of the tuition. The opportunity cost of the tuition is the next best alternative to the tuition. In other words, say the tuition is 10,000 per year. If you didn't go to college what would you buy with that? That's the opportunity cost of the tuition, and you don't add that in.

[-Jrabbit]

say the tuition is 10,000 per year.

Good one!

[Guynemer]

Sorry to threadjack a threadjack, but getting back to the OP:

Gingrich is a loathesome little xenophobic toad, and appears to be the best possible choice for the GOP nomination. How ****ed are we?

[Hauldren Collider]

Why do you say he is xenophobic? He puts America first? If he were president, I should hope he cares about America more than other countries.

[DinoDoc]

Gingrich is a loathsome little xenophobic toad, and appears to be the best possible choice for the GOP nomination. How ****ed are we?

I'm with HC here. On what basis do you declare him a xenophobe?

[Kidlicious]

Good one!

What? Is that too little or too much? Mine was 4,000 I think. That' was awhile ago and I went to public.

[Al B. Sure!]

$4000 a year?! Holy ****. Community college doesn't count.

[Guynemer]

Why do you say he is xenophobic? He puts America first? If he were president, I should hope he cares about America more than other countries.

I misspoke; coffee hadn't kicked in yet. I meant "muslimphobe" or "Islamophobe", whichever you prefer. Referencing his pitiful (not to mention hypocritical and blatantly unconstitutional) stance on the so-called "9-11 Mosque".



And, just for the record: "He puts America first" is such cliched nonsense.

[Hauldren Collider]

All politicians in the US put the US first though. Fact.