gvA Update

David and Goliath Economics. In his book, David and Goliath. Malcolm Gladwell tells the story of how David the son of Jesse of the children of Israel an underdog easily wins the fight against the big and tall philistine called Goliath. Malcolm Gladwell indeed has with this set up a new way of looking at underdogs. The Philistine army had gathered for war against Israel. The two armies faced each other, ready for battle on opposite sides of a steep valley. Goliath, the Philistine giant measured over nine feet tall and wore full armor. He came out each day for forty days, mocking and challenging the Israelites to fight. Saul, the King of Israel, and his whole army were literally cowered and terrified by Goliath. One day David, the youngest son of Jesse, was sent to the battle lines by his father to bring back news of his brothers. While there, David heard Goliath speaking pompous words against the children of Israel. He also saw the great fear that consumed the men of Israel. So David responded, "Who is this uncircumcised Philistine that he should defy the armies of God?" From here the economics starts to unfold. Often people are described as underdogs because relative strengths of the combatants are not well known by observers and pundits. However, David knew that he was not really an underdog. That is why he shouted to Goliath that he was coming against him in the name of the Lord Almighty. David had confidence in his battle approach. The hidden economics is like this. David was efficient and used appropriate technology in the battle. He saw that Goliath was weighed down with too much armament. Goliath had his sword and his spears and his heavy armament that made him clumsy and a sitting duck. This was inappropriate war technology for the weapons that David had for the battle. Goliath's technology was inefficient and of low and indeed abysmal productivity against the weaponry of David. David used a missile, in his sling shot. Goliath was waiting for David to come to him, but David had other ideas unknown to Goliath and even to the children of Israel. Economics is the study of choices and results. Goliath, upon seen that David did not come to him should have explored other choices, but he did not. In a surreal way, this scenario has a contemporary version in Saddam Hussein's forces waiting for the American army to come to them in the deserts of Irag for the mother of all wars. Instead, the Americans used tomahawk missiles fired from the sea to pulverize Saddam Hussein's defences. The armies never met face to face. It shows the superiority of technology, skill, wisdom and leadership. David's weaponry productivity was very high. Very little effort with a deadly impact. In the end it all comes to this. David had employed skill, appropriate technology, efficiency and high productivity, compared to Goliath. So sometimes, what makes you an underdog can fool your dominant opponent to fail to explore any hidden superiority you may actually have. Every body has his Goliath, with the appropriate approach, passion and commitment, you the underdog can actually win. Our hidden economics for you.

 

Posted: Jul 30th, 2015 @ 03:39:55 AM