The Broken Window Fallacy

The broken window fallacy is a misconception that a destructive event, such as breaking a window, has positive economic effects because it creates job opportunities for those who fix it. In reality, it only causes a redirection of resources away from productive activities.

👉 Destruction does not create wealth. 👉 The resources used to repair the window could have been invested in more beneficial activities, ultimately leading to economic growth and job creation. 👉 Remember, every decision has an opportunity cost. Don't fall for this fallacy and always consider the bigger picture!