Free or Equal questions and answers.

(the answers are underlined boldly)

1. If the government gives everybody the same freedom to work and reap the rewards, some
will do better than others. The result will be equality of opportunity, but not equality of
outcome.

2. Immigrants who arrived in the late-1800s/early-1900s found that America was truly a
land of opportunity. Describe the factors these immigrants encountered which helped
them thrive.
Factors: Few rules and regulations. There were no licenses, no permits, no red tape to
restrict them. They found in fact a free market, and most of them thrived on it.

3. Professor Friedman referred to Hong Kong as the freest market in the world.
Summarize how he described the free market.
Free market: The free market enables people to go into any industry they want; to trade
with whomever they want; to buy in the cheapest market in the world; to sell in the
dearest market in the world. But most important if they fail, they bear the cost. If they
succeed, they get the benefit. Its an atmosphere of incentive that has induced them to
work, to adjust, to save, to produce a miracle

4. Human and political freedom has never existed (and cannot exist) without a large
measure of economic freedom. Those of us who have been so fortunate as to have been
born in a free society tend to take freedom for granted, to regard it as the natural state of
mankind. It is not. It is a rare and precious thing.

5. Explain how the lead pencil & the smart phone are examples of invisible hands.
Invisible hands: They are examples of things that are available to anyone, they are also
things not one person can create, because it takes down to mining iron ore to make the
steel to make the chainsaw to cut down the tree, just to make the pencil. I requires lots of
invisible hands to get the final product.

6. Explain the concept of creative destruction as described in the Free or Equal video.
Creative Destruction: If we want to increase our wealth and opportunities; we have to
stop doing old things in old ways, and start doing innovative things in better ways. In
other words, we have to be, creative.

7. The idea that the economic race should be so arranged that everybody ends at the finish
line at the same time, rather than that everyone starts at the beginning line at the same
time. This concept raises a very serious problem for freedom. It is clearly in conflict with
it, since it requires that the freedom of some be restricted, in order to provide the greater
benefits to others.

8. Our economic system gave us Henry Ford, Thomas Alva Edison, Bill Gates & other very
successful entrepreneurs. These entrepreneurs all went in with their eyes open, knew
what they were doing & win or lose, we (society) benefited from their willingness to take
a chance. If we did not allow these successful entrepreneurs to become incredibly rich,
we would be more equal. But, would we be better off? If entrepreneurs did not think that
a possible reward for all the sacrifices they make, all their hard work, all the risks they
take, is a lot of wealth, then they might do something else instead. In that case, we would
not have the goods, services and technologies (they created) that make our lives better.
9. As Milton Friedman said, The society that puts equality before freedom will end up with
neither. The society that puts freedom before equality will end up with a great measure of
both.

10. Professor Friedman compares the concept of equality of opportunity to a race where
everyone begins at the starting line at the same time. In contrast, equality of outcome
guarantees that everyone finishes at the same time. Today, equality of outcome is referred
to as fair shares for all.
If we applied the fair shares for all concept in this class, all students would receive an
average grade of C. This would be accomplished by taking points away from students
earning As and Bs to give to students earning Ds and Es. Distributing points equally
would result in fair grades for all.
1. Would you approve of this method in calculating your final grade? Why or why not?

2. Would this differ from fair shares for all economically? Why or why not? For
example, whats the difference between a successful student being required to give up
some of his/her hard-earned grade and a successful person being expected to give more of
his/her hard-earned income? If you support redistribution of income and wealth,
shouldnt you also be willing to redistribute academic grades? After all, many of your
fellow students may not have had the advantages in education and upbringing that youve
had.
3. Address the above questions in your own words, in a minimum of 3 paragraphs.
Answer to number 10 not underlined for easy reading:
I would not approve in the method of fair grades for all to be applied in my final grade,
for many reasons. I do not believe it is fair to take points away from the people who work hard,
to give to the ones who are not doing anything. I think that if this was the case the students who
are working hard, would slowly stop doing their work. They would think that they dont need to
do anything and they will just get a c. In reality if all the students do nothing they will all fail.
I think that the fair grades for all would absolutely apply to us economically the same
way. I think that If I was a wealthy person, working hard to get my high income, just to have it
taken away to give to the less wealthy, I would eventually stop working so hard and try to live in
a median way. Where I only work as hard as I need to stay even, not give or take from or to
anyone. If I was a less wealthy person and I was receiving free handouts from the wealthy. I
would eventually rely on that and work less and less. I would become a lazy person with no
objective in life.
In conclusion I do not agree with the idea of taking from those who work hard to be
wealthy to give to those who are less fortunate. I believe that we need to provide the less
fortunate with opportunities so they can also become more fortunate. I think that an economy
where we take from the rich and give to the poor, is an economy that will soon fail. I enjoyed this
video and all it taught me. The most important thing being that we deserve the free chance to fail
or succeed.

Reflective Writing:

Compose 2-3 paragraphs explaining how completing this assignment helped you achieve at least
two (2) of the SLCC Learning Outcomes:
My reflective writing:
Completing this assignment helped me to think critically and creatively. This assignment
has helped me to learn a lot about the way different parts of the world handle their economics. I t
taught me to think critically and creatively because as I watched, I was trying to see what side of
the argument I stand in. I had to weigh all the sides and all the information and decide which one
I thought was best. I had to think creatively to apply this assignment to my own life. To realize
that in this world to get somewhere you have to work hard, and sometimes you have to risk
failing to succeed.
I also learned from completing this assignment. To communicate effectively. I saw that
this video was like a presentation. They used lots of statistics, quotes, and even video from the
original video launched by PBS. I learned that to better communicate myself in the college
atmosphere I must do my research before my presentations and to use lots of it. I also learned
that to communicate with people we must always learn more and more about the world and all
that is in it. Overall this assignment helped me learn to communicate and to think critically.