Wealth is created

We all want a strong economy.

But, where does wealth come from? How can we create a economy where lots of people are doing well economically and fewer people are suffering economically? Where does wealth come from?

Wealth is created.

Imagine two islands.

• Island #1: the Island of Ease. It is closer to the ship when the the ship goes down. It has nice sandy beaches where inhabitants can rest and relax.
• Island #2: The Island of Opportunity. This island is further away, more difficult to get to, but offers greater opportunity. There are more natural resources for those who are willing to work.
  

Naturally, the industrious people make their way to the Island of Opportunity and the laid back people (read: lazy) people make their way to the Island of Ease.

Then a strange thing happens. A barrel of cash floats in the serene bay on the Island of Ease. The inhabitants decide to divide it up, and instantly, everyone on the island has a million dollars. Everyone is a millionaire.

Meanwhile, over on the Island of Opportunity everyone is working hard. Building houses. Cultivating farms. Building a water a sewer system. In time one bright engineer figures out how to make electricity, and things really take off.

The only thing they are working on over at the Island of Ease is their sun tans.

Five years pass.

Which island has the strong economy--the one with millions of paper dollar bills, or the one with houses and roads and farms and restaurants?

Wealth is created through work. If we want a strong economy we have to

• encourage and reward people for working
• discourage and never reward people for not working

Creating a strong economy is as simple as that. Wealth is created. Encourage people to work.