Next week the Associates are reading The Law, by Frederic Bastiat, who is one of my favorite thinkers on the KAP curriculum. However it was Bastiat's "What is Seen and What is Not Seen," which details the broken window fallacy that sparked deeper economic thinking from my freshman-in-college self. I think if folks can understand and apply this one concept, the world would be a much better place.
There are lots of videos out on youtube that discuss Bastiat, but I think this first video gives the best flavor of Bastiat's original example.
Is this something only policy makers need to worry about? How might the broken window fallacy manifest in the organization?