Monday, September 22, 2014

Intersections of the Social and Economic (Socially DIstanced) Life

In the movie, "A Beautiful Mind", John Nash's eureka moment occurs while he is with his friends in a bar. Five girls enter the establishment and Nash and his friends start contemplating who will get the blonde.

Eventually the conversation turns to Adam Smith and one of his famous quotes, "In competition, individual ambition serves the common good."

"Everyman for himself, gentlemen" says one of Nash's friends.

And another adds, "and those who strike out are stuck with their friends."

Eventually the blonde looks over at Nash, and he joins the conversation, "Adam Smith needs revision." Nash goes on to state that no one should pursue the blonde since they will all "block each other and not a single one of us will get her. Then when we strike out, none of her friends will have us because no one likes to be second choice. But what if no one goes for the blonde? We don't get in each others way and we don't insult the other girls. That's the only way we win."

But his friend quickly adds, "If this is someway for you to get the blonde you can go to #%^*!"

"Adam Smith said that the best result comes from everyone in the group doing what is best for himself, right? That's what he said. Incomplete. OK, because the best result would come from everyone in the group doing what is best for himself and the group."

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