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I = S - M

The modern way of thinking about economics has been I = M - S Where I is the I as in me, M is what is 'mine' and S is what ...

12/22/10

The madness involved in the mass production and mass purchases of poorly conceived and poorly made products can be explained using Gandhian economics.

Decisions about what to make and where to make things are based not on total costs but on marginal cost, the cost of making one more unit of the product. In the manufacturing of a million units of a modern product, the cost of making one more unit is very small. So very large amounts of very many things get produced in far flung places at great environmental and human cost as long as marginal costs are low.

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