Harford

Having Tim Harford's The Undercover Economist as my bedtime reading lately.

The book is, no doubt, well written and opens the eyes of many. (Of course it cannot be compared to classics like The Wealth of Nation by Adam Smith. But that's beyond the point.) The chapter on insider's information and health insurance is particularly illuminating.

Harford is obviously a head-to-toe supporter of open market, free trade, and taxation for externalities (alas, pollution and so forth). Even for those without much knowledge on economy, however, it is not difficult to see many loopholes in his argument. For example, it is of course the right strategy for a country to focus on a business that has an edge and give up those less competitive industries. Nonetheless, blue collars cannot change their skill over night (we know that just too well) - not to say jobs that require sophisticated training.

And, even the best industry of a country may not outshine your competitor and earn a living.