Saturday, February 6, 2010

The Pencil



Yesterday, I watched a video of a men who said that everyone contributed to world-wide economy and he explain this with a pencil. He said that many people contributed to make the pencil; in Washington, people cut trees and export the wood, in Australia, people work in graphite and copper mines and export them, and finally people in Brasil cut rubber tree to make the eraser. Then , we buy it and all these people around the world obtain a benefit; the miners, the woodcutters, the factory that makes the pencil, the people who sell it, and so on. We all contribute to economy everyday, whenever we buy something, or pay for a service. This is a pretty simple example, but there are more and more complex examples, such as oil and precious stones. This process is more comlex because they are more demanded products, and have a higher price, so the economy of the country that exports these goods, is very affected.

1 comment:

Anonymous said...

I like this simple example for when we come to talk about economics in class.

Thank you.