Broken Window Fallacy [Infographic]

The economy is a strange and mysterious thing.  Even economists can’t agree on what makes it tick or what’s best for it’s growth.  One thing is for certain: war is good for business. Well, it turns out that might not be true after all.  It has always been accepted as economic truth, but the logic on which this argument is based is shaky at best. In theory, if you have a broken window and you have to get that fixed, that should be good for the economy because you’re spending money you otherwise wouldn’t be.  But that money might be better spent elsewhere, such as in an investment in the community. This infographic outlines the fallacy of the broken window argument.  Check it out and share it with your friends.  It’s time we change our mindset and opt for productivity instead of destruction at the crux of our economic model.

Broken Window Fallacy Source:


Brian Wallace is the Founder and President of NowSourcing, an industry leading infographic design agency , based in Louisville, KY and Cincinnati, OH which works with companies that range from startups to Fortune 500s. Brian also runs #LinkedInLocal events nationwide, hosts the Next Action Podcast, and has been named a Google Small Business Advisor for 2016-2018. Follow Brian Wallace on LinkedIn as well as Twitter.

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