Fun_People Archive
2 Oct
Economic theory - simplified

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From: Peter Langston <psl>
Date: Wed,  2 Oct 96 22:25:05 -0700
To: Fun_People
Subject: Economic theory - simplified

Forwarded-by: Harold Hubschman <haroldh@ksgbbs.harvard.edu>
<Further forwards never learned new math>

 After applying some simple algebra to some trite phrases and cliches
 a new understanding can be reached of the secret to wealth and success.

 Here it goes.

     Knowledge is Power
     Time is Money

 and as every engineer knows,

     Power is Work over Time.

 So, substituting algebraic equations for these time worn bits of wisdom,
 we get:
     K = P    (1)
     T = M    (2)
     P = W/T  (3)

 Now, do a few simple substitutions:

     Put W/T in for P in equation (1), which yields:
     K = W/T  (4)

 Put M in for T into equation (4), which yields:

     K = W/M  (5).

 Now we've got something.  Expanding back into English, we get:

    Knowledge equals Work over Money.

 What this MEANS is that:

    1. The More You Know, the More Work You Do, and
    2. The More You Know, the Less Money You Make.

 Solving for Money, we get:

    M = W/K  (6)
    Money equals Work Over Knowledge.

 From equation (6) we see that Money approaches infinity as Knowledge
 approaches 0, regardless of the Work done.

 What THIS MEANS is:

    The More you Make, the Less you Know.

 Solving for Work, we get

    W = M x K  (7)
    Work equals Money times Knowledge

    From equation (7) we see that Work approaches 0 as Knowledge
 approaches 0.

 What THIS MEANS is:

     The stupid rich do little or no work.

 Working out the socioeconomic implications of this breakthrough is left
 as an exercise for the reader.

© 1996 Peter Langston