Kleykamp in Taiwan --
" Live Long and Prosper "
Guide to Economics Readings and Essays
Spring 2012
                                               ( watch Friedman's pencil video )

                                               Friedman's Pencil -- the Text

    Look at this lead pencil. There’s not a single person in the
    world who could make this pencil.  Remarkable statement?  
    Not at all.  The wood from which it is made, for all I know,
    comes from a tree that was cut down in the state of
    Washington.  To cut down that tree it took a saw.  To make
    the saw took steel.  To make the steel it took iron ore.  This
    black center, we call it lead but it’s really graphite --
    compressed graphite. I’m not sure where it comes from, but
    I think it comes from some mines in South America.  This red
    top up here – the eraser – bit of rubber probably comes from
    Malaysia (Malaya) – where the rubber tree isn’t even native. It
    was imported from South America by some businessmen
    with the help of the British government.  This brass ferrule --
    I haven’t the slightest idea where it came from -- or the
    yellow paint -- or the paint that made the black lines.  Or, the
    glue that holds it together.  

    Literally thousands of people cooperated to make this
    pencil.  People who don’t speak the same language; who
    practice different religions; who might hate one another if
    they ever met.  When you go down to the store and buy this
    pencil you are in effect trading a few minutes of your time for
    a few seconds of the time of all those thousands of people.
    orders from some central office.  

    It was the magic of the price system, the impersonal
    operation of the price system that brought them together
    and got them to cooperate to make this pencil so that you
    could have it for a trifling sum.  That is why the operation of
    the free market is so essential, not only to promote
    productive efficiency, but even more to foster harmony and
    peace among the peoples of the world.  


       Schedule of Readings  

1 Introduction to the Class 101/02/13~101/02/19
Private Consumption 101/02/20~101/02/26
Worksheet for Consumption 101/02/27~101/03/04 Answers
4 Investment 101/03/05~101/03/11
Worksheet for Investment 101/03/12~101/03/18  Answers
6 Government Spending 101/03/19~101/03/25   
Worksheet for Government Spending 101/03/26~101/04/01
International Trade 101/04/02~101/04/08
Worksheet for International Trade 101/04/09~101/04/15

10 期中考試週101/04/16~101/04/22

Wealth 101/04/23~101/04/29
Worksheet on Wealth 101/04/30~101/05/06     Answers
13 Capitalism vs. Socialism 101/05/07~   101/05/13
Worksheet on Capitalism vs. Socialism 101/05/14~101/05/20

15 畢業考試週 101/05/21~101/05/28