The Economic Way of Thinking 13th Edition by David Prychitko, Peter Boettke, Paul Heyne

Exercise 2

The deputy chairman of the Russian Red Cross complained in the 1990s that food aid sent to the country by Western nations was being stolen. "Russian swindlers are the most experienced in the world," he said. The deputy director of the Russian aid commission expressed the need for a centralized system to ensure proper distribution. Which do you think is likely to get into the mouths of hungry people faster and with less loss through spoilage: food that is distributed through government agencies and charity organizations or food that has been stolen? Why?