You may remember from my Facebook page that I made a somewhat futile attempt at being clever for Cinco de Mayo. I later went back and tried to improve a little on the original half-assed attempt, and that produced the following iteration:
Now, I think the comments on the photo were probably better than the photo itself, despite the fact that I hold to the notion that Gizmo is too small to be a macro guy. I happened to look at the comments this afternoon when I was searching for something else, and I came across the following:
He would be happier with a picture of Chloe (from ” A Beverly Hills Chihuahua” inside the book..hahaha
Well, Roberto, you had no idea how close you were to being on to something. From that very book:
Whoever said that economists aren’t funny? Oh, right, me. Anyway…the relevant text in the book talks about the income effect on the supply of labor- basically, how having a very high wage or a lot of wealth reduces the incentive to work. (You can click on the image for a full-size version, though it may be shrunk by your browser.) It then gives the example of how Andrew Carnegie donated most of his fortune to charity rather than give it to his kids because he didn’t want his kids to be lazy or useless. The caption on the photo says “Luckily, I’m a Hilton rather than a Carnegie.”
In fairness, the reality of the situation is that Paris Hilton has probably made more money than anyone who is reading this right now. It appears as though textbook models of labor supply might want to acknowledge that sometimes people work for things other than just money.