5. God's Plan of Salvation and My Freshman Econ Class

So, I've been surprised to discover that I really enjoy Economics. As crazy as it sounds I'm in the heat of the battle with Econ 110, one of BYU's most hated and failed courses, and I'm loving it. There's just something about the principle--like the price elasticity of demand or diminishing marginal return--that are just exciting to me like Edward Cullin excites my sixteen year old niece. Okay, maybe not that much, but I have learned some really interesting things in Econ 110 that hit on some important life principles.

I've found the principle of trade to be really interesting. If you think of the outcome of trade without looking at how it works, the whole idea is crazy; everyone can gain from trade no matter how poor they are in relation to those with whmo they trade. Even though it sounds counter-intuitive it is true. The reason is because of the principle of comparative advantage; the ability to produce something at less cost than another. For example: Bob can write papers for his English twice as fast as he can do a page of his calculus homework. Rick, on the other hand, can produce a page of calculus homework with half the effort (or time) as he can write a paper for his English class. Even if Rick can do both the English paper and the calculus homework faster than Bob (he's just a better student overall) both he and Rick will benefit from trade. The reason being that Rick has comparative advantage in calculus homework and Bob has comparative advantage in writing English papers. If they specialize in what they do best--producing only English papers or only calculus homework--and then trade they both have more calculus homework and english papers or more time to not do homework. Pretty cool!

This principle applies to life in other ways. Think about the benefits of having a relationship with another. You benefit from the traits that they possess in which you lack and visa verse for them. Maybe your spouse is particularly good at paying the bills while you are great at disciplining the children. As you both focus on what you are good at doing you are both left with payed bills, well-behaved children and some extra time and energy for other things. We benefit from trade more than we realize.

I know that God has a good grasp on the principle of comparative advantage because His plan of salvation includes it. Each of his children come to earth endowed certain capabilities. We each can benefit from our association with one another. And Christ's church is built as a marketplace for trade. Sue benefits from her Bishop's gifts for administration and in turn he benefits from her example of compassion in her calling. God did not build us to be self-sufficient and so every one of us can benefit spiritually through trade. Who would have thought that the principles I learned in a freshman econ class could be eternal.