Milutin writes:
>
> >>  One person is better off while 9 others are worse off.
>
> >I missed the example given so I must ask, are the 9 worse off then they
> were before, or are they simply worse off relative to the other individual?
>
> Worse off then before, I explain again:
>
> The size of the pie was 100 dollars.  Each person had 10 dollars
> income.  Therefore the average is 10 dollars a person.  The size of
> the pie increases to 102 dollars, population remains the same, the
> average becomes 10.2 dollars, BUT 9 people have 1 dollar income and
> one person has 93 dollars.

1. Where did the $10 go that they each earned the first year and why
did it go there?

2. Why did the incomes of the nine drop to $1?  Are you saying that
income is a zero-sum system?

3. It looks like the nine each gave $9 to the one.  Why did they do
that?

4. Even if they did each give $9 to the one, they should have each had
$1 left.  Then the $1 you say they earned in the second year would
have taken them to $2 each.

> They, as a group, were better off with a lower average because the
> majority of them(9) had a higher income.

I think I don't understand the example.

martin

Martin Smith                    Email: [log in to unmask]
P.O. Box 1034 Bekkajordet       Tel. : +47 330 35700
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