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"Economic Facts and Fallacies" (2nd edition) by Thomas Sowell is a compelling critique of widely held economic myths that distort public understanding and policy. Sowell systematically debunks fallacies related to urban planning, gender pay gaps, education, income inequality, racial issues, and economic development in the third world.
He challenges assumptions such as the necessity of Ivy League education for success, the inevitability of growing wealth inequality, and the simplistic interpretation of pay disparities between men and women. Sowell exposes how rent control often worsens housing shortages and how well-meaning government interventions frequently have unintended negative consequences.
The book emphasizes comparing comparable groups over time rather than static snapshots to understand economic realities like income mobility. Sowell also highlights how statistics can be manipulated to support opposing narratives, encouraging skepticism and critical analysis.
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