--- title: "Meaning & Key Takeaway of: To the economically illiterate, if some…" description: "\"To the economically illiterate, if some company makes a million dollars in profit, this means that their products cost a million dollars more than they..." image: "https://sms4smile.com/quotes/i/2e6/thomas-sowell-247_business_to-the-economically-illiterate-if-some-c_1416879.jpg" --- # To the economically illiterate, if some company makes a… ![“To the economically illiterate, if some company makes a million dollars in profit, this means that their products cost a million dollars more than they would have without profits. It never occurs to such people that these products might cost several million dollars more without the incentives to…” quote by Thomas Sowell](https://sms4smile.com/quotes/i/2e6/thomas-sowell-247_business_to-the-economically-illiterate-if-some-c_1416879.jpg) [Download](https://sms4smile.com/quotes/i/2e6/thomas-sowell-247_business_to-the-economically-illiterate-if-some-c_1416879.jpg) [Open image](https://sms4smile.com/quotes/i/2e6/thomas-sowell-247_business_to-the-economically-illiterate-if-some-c_1416879.jpg) > “To the economically illiterate, if some company makes a million dollars in profit, this means that their products cost a million dollars more than they would have without profits. It never occurs to such people that these products might cost several million dollars more without the incentives to be efficient created by the prospect of profits.” [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. Profit signals efficiency; without it, prices would rise unchecked, ignoring cost‑saving incentives. **In simple terms:** Profit guides efficient pricing. Key Takeaway Recognize profit as an efficiency signal. Themes economics profit efficiency pricing misunderstanding Mood analytical educational Type economic critical When to use this quote - business decisions - policy making - consumer education - investment analysis Key Concepts market signals economic literacy Questions to Reflect On - How does profit influence product pricing? - What are the risks of ignoring profit signals? A Different Perspective Profit motives can be misinterpreted or politicized. ★ ★ ★ ★ ★ No ratings yet [Business](https://sms4smile.com/quotes/about/business/) [Company](https://sms4smile.com/quotes/about/company/) [Cost](https://sms4smile.com/quotes/about/cost/) [Customer](https://sms4smile.com/quotes/about/customer/) [Dollars](https://sms4smile.com/quotes/about/dollars/) [Dollars Profit](https://sms4smile.com/quotes/about/dollars-profit-5008149/) [Dollars Profits](https://sms4smile.com/quotes/about/dollars-profits-5008148/) [Efficient](https://sms4smile.com/quotes/about/efficient/) [Ifs](https://sms4smile.com/quotes/about/ifs/) [Illiterate](https://sms4smile.com/quotes/about/illiterate/) [Incentives](https://sms4smile.com/quotes/about/incentives/) [Mean](https://sms4smile.com/quotes/about/mean/) [Might](https://sms4smile.com/quotes/about/might/) [Million dollars](https://sms4smile.com/quotes/about/million-dollars/) [Millions](https://sms4smile.com/quotes/about/millions/) [People](https://sms4smile.com/quotes/about/people/) [Products](https://sms4smile.com/quotes/about/products/) [Profit](https://sms4smile.com/quotes/about/profit/) [Profit Means](https://sms4smile.com/quotes/about/profit-means-1688557/) [Profits](https://sms4smile.com/quotes/about/profits/) [Profits Occurs](https://sms4smile.com/quotes/about/profits-occurs-5008147/) ## Related quotes > [Profit has to be a means to other ends rather than an end in itself.](https://sms4smile.com/quotes/charles-handy/profit-has-to-be-a-means-to-other-ends-rather-than-an-end-in-itself/) [Charles Handy](https://sms4smile.com/quotes/author/charles-handy/) > [If we cannot make a profit, that means we are committing a sort of crime against society. 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