The third law only dawned on me when I was studying the public’s beliefs about economics, and noticed that income growth seems to increase economic literacy, even though income level does not.
In other words, poor people whose income is rising—like recent immigrants—have more than the average amount of economic sense; rich people whose income is falling—like the Kennedy family—have less.
If I am right about the idea trap, then advocates of free-market reforms should always root for good times and marginal improvements.
Read more at: The Idea Trap - Econlib
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