2nd edition, Economic Facts and Fallacies

The first chapter of Thomas Woods's Meltdown is called "The Elephant in the Room." Dr. Woods, of course, is referring to the Federal Reserve -- a subject that merits just a few superficial mentions in Thomas Sowell's Economic Facts and Fallacies, all in reference to the Fed's statistical arm. In other words, the greatest economic fallacy of all -- that the Fed is a free-market institution that doesn't pervert and distort every single economic transaction in the United States (and the world!) -- is not even touched. As such, this book is essentially a hot pile of worthlessness.

There are some interesting insights and facts that (barely) merit a second star. But for the most part, Dr. Sowell's economics are child's play. He accepts the Fed, fiat-money central banking, the massive warfare state, drug prohibition, etc., and the state itself, without comment. He argues that CPI actually understates "inflation," thereby conceding the Keynesian definition of "inflation" as a rise in the price level, while it actually means a rise in the supply of money -- THE most crucial economic idea -- which he is 100% silent about. Prices would be falling absent the Fed's Communistic central planning, and these rises in living standards are sucked away from the poor and working class and given to Dr. Sowell's elitist paymasters.

Again, this book has a few decent insights, but Dr. Sowell misses the forest for the trees. He's essentially a dancing monkey; a stage clown and token for the Establishment to point at, who tiptoes very carefully within the confines of politically correct conservatism. There are only two distinctions among the schools of economics: Austrians and everybody else -- and Sowell is NOT an Austrian. As such, his economics are WRONG, and wrong is wrong -- he's not "less wrong" than Keynesians or Marxists; they're all just wrong! Sowell's love of the Nanny State (albeit in conservative guise) blinded him, a supposed economic genius, to the obvious and inevitable crash, whereas Austrian thinkers saw it coming 1000 miles away. This book is a worthy read solely for its demonstration that "conservative" economics is as morally and intellectually bankrupt as any other element of "conservative" political ideology. Stick with Austro-libertarianism instead.

Debunking of fallacies by using facts is very useful. To talk one example: Household income in the US has not increased much during the last decades. Terrible, says the left-winger. Not really true, says Sowell. The average household size has also gone down. If you look at the average income per person it has increased quite a bit during the last decades. --- Good point. And the book has many of them

Still this book will mostly appeal to a smaller audience. The author talks about many different aspects of economy and society, which means that we do not get any real depth. We get a lot of debunking here and there, but we don't get anything else. What I am really missing is that the author doesn't really provide alternatives for policy problems. The basic underlying ideas of the author seems to be that left-wingers worry about something that is not really a problem. Fine, but what is missing is what to do about the real problems. You might counter and say that this book only deals with debunking of facts. To that I would say, okay. That is a good aim, but does not make for a really good book. So three stars.

In contrast, the author's mentor Milton Friedman was brilliant in also coming up with policy that would deal with the real problems. Sowell could learn something form that approach. He should publish fewer books, don't be that talking head on television that always say what the right-wing channel wants him to say, and spend time thinking about actually coming up with policy that can tackle the real problems. Sowell certainly has the brainpower to do this, but sadly I don't think he has the personality/disposition for such work.

I have read Thomas Sowell for decades, and regard him as one of the most clear-headed writers of our time. A self-made man, a profound thinker, and a brilliant economist, Sowell stands out for two reasons. First, he looks beyond the facile political explanations of social and economic issues, insisting on delving into the empirical evidence and following it wherever it leads, which is very often to an explanation that shatters the conventional wisdom upon which most public policy is based and to which it perniciously clings.

And second, he has the gift of economy of expression, laying out his case with such clarity and simplicity that any sentient being who is capable of critical thought, and not so tightly tethered to a tidy world view as to filter out any reality incompatible with it can easily connect the dots. Once again, Sowell does not disappoint. HIGHLY recommended reading.

_Economic Facts and Fallacies_ (2008, Basic Books) is my first foray into the writings of economist, Thomas Sowell. And I have to say, I'm quite pleased with what I've found.

Sowell states at the outset that many things "are believed because they are consistent with a widely held vision of the world - and this vision is accepted as a substitute for the facts." (p. vii) The rest of his book is really an illustration of this truism along multiple lines.

Sowell challenges conventional/current wisdom on housing and urban sprawl policy, showing that the data tell another story. He also examines income disparities across gender, race, and nations, concluding in most cases that the differences are explained by factors other than discrimination or exploitation contra popular opinion.

_Economic Facts and Fallacies_ is really a call for us to go where the evidence leads and to resist conforming the data to our own preconceived ideas of what reality is. For example, that there is an economic difference between two groups of people does not mean ipso facto that there is a "disparity" or "inequality," the cause of which can be traced back to some pernicious discrimination or exploitation.

Though Sowell's book is about economics, statistics, and data, it is non-technical for the most part. The interested reader will have little trouble making it through the book. While Sowell makes clear his dislike for central planners in several places throughout the book and presents a conservative approach to economic and social policy, the book has value for readers of all political stripes. In my view, the illustrations in the book transcend partisan politics and remind us all that we need to be more honest when interpreting the data.

This is a nice book and a refreshing read considering the fact that most economists are clueless. The one drawback to the book is, in the tradition of all econmists, this book lacks practical application how to use the information for investments. This is most likely due to the fact that economists have very little real world experience and they certainly have no experience managing assets.

I would recommend "America's Financial Apocalypse: How to Profit from the Next Great Depression (Condensed Edition)" as an excellent companion to those interested in doing well with their investments over the next several years. The book has an excellent chapter detailing how Washington economists distort and hide critical economic data such as GDP and inflation. In addition, it is the only book to detail ALL of America's problems (health care, Social Security, Real Estate Bubble, Free Trade, Immigration, Peak Oil, Corporate Fraud, Foreign Ownership, Education, etc.)

Finally, the author makes bold predictions about the future of America and the capital markets and shows how to profit. Thus far, he has been 100% correct in his predictions. America's Financial Apocalypse: How to Profit from the Next Great Depression (Condensed Edition)

So many "truths" are repeated over and over that we have come to accept them as fact without corroborating information. Sowell expertly takes on the myths that have become truths in modern day society, taking on topics as diverse as the cost of a college education to gender differences. He builds his counter arguments with logic and facts delivering adept arguments that will turn conventional thinking on its head. While some people might balk at his conclusions, you can't ignore that he arrives at them as a natural extension of the facts he is referencing. Whether you want to take on the idea that a college education is necessary or that urban sprawl is covering our country, Economic Facts and Fallacies is a necessary handbook, preparing you to make these arguments eloquently and academically.

I've gone through Economic Facts fallacies, The communist manifesto, Road to serfdom, and General Theory of Employment, interest and money.

There is a reason this book is highly recommended. It takes its time, and explains everything in layman's terms without holding your hand, and making you feel stupid. It's an Austrian book, but I don't see to much bias, as it focuses more on Making the reader that a third party May be affected by legislation, and to look at the long term effects rather than just the short term, rather than just Telling the reader that All government intervention is bad. I defiantly recommend this book even for someone who is more interested in Keynesian theory.

As a side note the book came in excellent condition.

This is an excellent book. Sowell is highly skilled at breaking down complex subjects into the most objective form possible. He looks at data in a pure cause and effect way. He swims through the millions of different excuses and problems presented to individuals (through their own decisions) to lay out a very blunt interpretation of the data. X, Y, and Z will cause this to occur.

In this book Thomas Sowell shows again and again how "lies, damned lies, and statistics" are abused to buttress arguments--usually including a cry for some form of government intervention. The opening chapter alone should be required reading for anyone trying to understand the errors willfully propagated by politicians and media. Despite sharing a similar economic viewpoint much of the information was new to me. I found very interesting the different impacts of marriage on men and women, which of course made complete sense for social reasons, rather than any innate bias. Also interesting was the fact that income disparities between poorest and richest nations actually decreased over time when you compare the same countries, and not just the countries that are richest or poorest at different times. Many other interesting and illuminating facts can be found, and I would suspect most readers would be able to find something to make them think about an issue differently than they have in the past. The tone throughout is respectful and scholarly, and you may choose to disagree with some of his conclusions but as John Adams is quoted on the title page "Facts are stubborn things".

This book educates the reader in language that most people can understand. It reveals the truth behind the statistics regarding the lower, middle and upper "classes", men vs women, racial economics etc. It also reveals the way statistics are manipulated to mislead the uneducated public. This is a democracy. We each get to vote, not only in the elections, but with every dollar we spend. We need to do a much better clearer job of educating ourselves and our children as to the analysis of these types of statistics so we don't end up voting for the exact opposite of what we really want. This book can help. This book and Steve Forbe's "How Capitalism Will Save Us" should both be mandatory reading for any class that requires the reading of any Karl Marx book.

This book in no way measures up to its relatively high rating. I read Chapters 1,2 and 4 and retired it. Sowell's points on urban fallacies are superficial in the extreme, and I assumed the other chapters would follow suit. Came away with nothing of value from this book - a rare occurence. Stay away.

Clear and to the point. Thomas Sowell was able to answer the many questions I have had in my head for ages. I haven't fully researched all of his sources yet, but just on explanations and writing alone I give this book 5 stars. I learned so much about the many fallacies I held to be true. It really opened my eyes to the incorrect information being spread. After reading this, I feel as though I have a starting point to explain the problems with the common economic fallacies I hear daily.

I would definitely recommend everyone to read this. If you're still sitting on the fence about it, just jump off and buy! I'm glad I did.

You'll never mistake Thomas Sowell's writing style for Dan Brown's. But for an economist and teacher, he's about the clearest writer you'll find. He and his research team have dug out facts about real-world issues and put them in a perspective that lets us see where we've been going wrong. Sometimes with good intentions, but wrong nonetheless.

I spent a career in what's now called the "main stream media." If I had quoted these facts in a newsroom 40 years ago, I would have been given a fair hearing. If I quoted some of Sowell's statements today, I would be shouted down and ridiculed. That terrifies me.

In this book Thomas Sowell analyzes a number of economic fallacies that are widely repeated by politicians and activists and shows how wrong they are. His analysis of fallacies in areas such as income, gender gap and urban development is fascinating. He also outlines a number of common economic fallacies that many people use to build bigger fallacies such as the zero sum fallacy. I found this book really useful and I recommend it to every citizen to help make informed decisions about the wrong claims that are made by politicians and activists to argue for bigger government role.

You buy this book and you will find analysis that takes a simple two variable look at the world, then backs it up with cherry picked data.
Whether you agree with this guy or not, if you have any kind of background in economics, this book is a waste of your time. It's stuck in econ 101.

In typical Thomas Sowell fashion, he uses logic and facts to help better understand the circumstances. Great book for the average American trying to get smarter about our economic state and the roles of government, business, and us (the consumers).

Most definitely, this is one of the finest books on the subject of economics (social and political economy). It is on the par with Friedman, Hayek and Bastiat. Every American should read it in order to learn about fallacies which have been perceived as scientific truth.

As usual, Mr. Sowell gives an excellent analysis of underlying factors that are easy to overlook in many superficial economic and life situations. Not using the usual jargon, he explains in simple terms facts of life and goes below the "average" and looks at commonalities and differences that cause apparent discrimination. Well written and very readable.

Thomas Sowell is a master at demystifying piece by piece the worst shibboleths propagated by sycophants media. He is peerless in his inception of ideas and the simple and eloquent way he presents them to the general public.

While Tom doesn't have the catchiest writing style, he is definitely an economist and not a writer. However this book is full of really interesting economic assumptions and policies that look a little different when held under the microscope. While the book isn't as edgy as say Freakanomics, I found it's research to be far more thorough and compelling.

Dr. Sowell, once again, brings facts and history to light that aren't commonly discussed in political discourse, and so brings me to a deeper level of understanding. I found each chapter to be well-written and engaging. If you want to understand how the world works, this book will bring you far closer to that goal. This is a great book and I highly recommend it.

I decided that as a responsible citizen I should try to learn a few things about economics. I found that this book is a great aid in that endeavor. Dr. Sowell is a master in making the complex principles of economics easy for the layman. Although my favorite is his book, "Basic Economics," this book is an excellent further examination into some of the principles he brought up in that one. My favorites here were the chapters on college education, income disparity, and the third world. For those that wonder about some of the economic statistics that are so easily thrown around by the media--Dr. Sowell takes some of them on and clearly shows where they are wrong. Every informed citizen should read this book!

This should be required reading for everyone including anyone over the age of 16. If people understood how supposedly well intentioned acts and laws actually destroy people and their incentive or desire to excel, we'd rid ourselves of the high taxes, class envy, and ridiculous regulations that are hurting individuals and the country as a whole

Why isn't this man running the country? Because he is too smart to get involved in all the political garbage. A must read for anyone who truly wants to understand the impact of everything the gov't does to "improve" the economy.

I read this small and excellent book, here in Brazil. This book was writen by Thomas Sowell, an ABC (American Black and Conservative) and scholar.
Sowell refutes and debunks six of the major economic fallacies of our time:
1- Urban Facts and Fallacies
2- Male-Female Facts and Fallacies.
3- Academic Facts and Fallacies.
4- Income Facts and Fallacies.
5- Racial Facts and Fallacies.
6- Third World Facts and Fallacies.

Useless racial and feminist myths are debunked in this book. Some facts described in this book:
1- Until about two centuries ago, slavery was aproved by almost all of the mankind, including all the Islamic world. See chapter five.
2- Women got smaller salaries when they get jobs with less risk. The vast majority of workers that died working are men. See chapter two.
3- Third world don't have any advantage with loans and Socialist policies. See chapter six.

In todays ecomomy you hear about economics and economist all the time but do you really know what that means? This book while having a topic which I would normally have found boring was an amazing read. I had people at work who saw me reading a book on economics and thought I had gone looney! I would read little bits to them and the next thing you know, they wanted it when I was done with it. I will read more from Dr. Thomas Sowell! He makes what appears to be a difficult subject so simple to understand!

Thomas Sowell always have somewhat different view then the rest of us.Facts and figures can be interpreted many different ways. Though Mr Sowell has a different view, he has a very clear understanding of his view and the beauty is that he can impart that to others very concisely and easily. However it will be up to others to seek out other explainations and then make up their mind, what is right and what is not so right.All in all a good read.

Great book, although the logics underlying the fallacies is always the same, so a shorter book could have been made. Author seems arrogant at times....which can appear annoying. But overall, great teachings.

A breath of fresh air brought to Economics. Surprising analyses of venerable institutions, e.g. Institutions of higher learning and how they really operate and are governed. Sample it for yourself.

I always read Dr. Sowell's columns faithfully but this is the 1st book of his that I ever bought. I'm sorry now that I waited so long. This book presents a great deal of factual information presented in a clear, common-sense, logical manner. I personally love economics & statistics & so on but Dr. Sowell never gets bogged down in the numbers, he just presents his points in a concise, straightforward, easy-to-follow manner. Anybody who may be intrigued by economics but is wary of dry, academic discussions should give this book (or other works by Dr. Sowell) a try.

This book has some great insights about common economic misconceptions. It takes a fact-based approach negating some of the common misconceptions, such as bias in pay for women. I would highly recommend this book to anyone who wants to hear a different side of the story.