"Squanderville versus Thriftville"; making economics understandable

Warren Buffet via FreeRepublic.com  "...take a wildly fanciful trip with me to two isolated, side-by-side islands of equal size, Squanderville and Thriftville. Land is the only capital asset on these islands, and their communities are primitive, needing only food and producing only food. Working eight hours a day, in fact, each inhabitant can produce enough food to sustain himself or herself. And for a long time that's how things go along. On each island everybody works the prescribed eight hours a day, which means that each society is self-sufficient. " Hat tip to Kerby Anderson of Probe Ministries' Point of View . From Kerby's book, Making the Most of Your Money in Tough Times