Two economists A and B are classmates. They are both reputable and wealthy, but they do not give in to each other. One day, they took a walk together. Seeing a pile of cattle dung on the roadside, A said to B, “Dare you eat it, I will give you 50 million dollars.” Hearing this, B was irritated at first. But soon he calmed down to evaluate this deal by using his knowledge of economics. After a careful consideration, B decided to eat it and A had to pay 50 million dollars to him. Later, they encountered another pile of cattle dung. Having eaten a pile of dung, B felt it was unbalanced if A did not eat it. So B retorted, “Dare you eat it, I will also give you 50 million!” After doing some calculation, A ate it and B paid the money to him. Finally, they both felt regretful after they found that actually they had gained nothing but only eating two piles of cattle dung.
With this puzzlement, they asked their tutor, “Why did we gain nothing from the economic activity under elaborate calculation?” To their surprise, their tutor was rather excited and even burst into tears on hearing this. A and B were more puzzled before their tutor told them in great excitement, “Well done! You two have just earned 100 million dollars GDP for our country by eating two piles of cattle dung!”
Pena Tumpul - Never trust economists
With this puzzlement, they asked their tutor, “Why did we gain nothing from the economic activity under elaborate calculation?” To their surprise, their tutor was rather excited and even burst into tears on hearing this. A and B were more puzzled before their tutor told them in great excitement, “Well done! You two have just earned 100 million dollars GDP for our country by eating two piles of cattle dung!”
Pena Tumpul - Never trust economists
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