(20 - 26) The day Robinson learned Adam Smith's diamond-water paradox.

Notes on Robinson Crusoe, Chapters 20 through 26.

1 year has passed. Robinson had sown grains of barley and rice.

After doing so, he decided to take a big trip and explore the island, which took about a month. At the other side of the island, he looked to the horizon and saw land, but he couldn’t tell whether that was another island or the mainland of America.

Either way it was risky to go there, he thought, for there might be savages.

So he returned to his castle and harvested his grains, which quite pleased him.

At this point, seeing how much he had accomplished at the island with his bare hands (figure of speech), for the first time in the book Robinson felt actually happy about everything that happened:

“My life was much happier than it had been while I was sailing the seas. I took delight in many things that I had never cared for before”.

He enjoyed himself for a little while, but, a few chapters / months later, he started wondering whether he could live there for all his life:

“I was always trying to think of some way to escape from the island. True, I was living there with much comfort. I was happier than I had ever been while sailing the seas. But I longed to see other men. I longed for home and friends”.

Then he built such a huge and heavy canoe (big enough for twenty men), that he couldn’t manage to push it into water! After working very hard in such a non-sense project, he went back to his cave feeling foolish, sad and thoughtful…

This was the day when Robinson learned Adam Smith’s diamond-water paradox, or its solution, as the passage below shall demonstrate:

“Why should I be discontented and unhappy? I was the master of all that I saw. I might call myself the king of the island. I had all comforts of life. I had food in plenty. I might raise shiploads of grain, but there was no market for it. I had thousands of trees for timber and fuel, but no one wished to buy. I counted the money which I had brought from the ship. There were above a hundred pieces of gold and silver; but of what use were they? I would have given all for a handful of peas or beans to plant. I would have given all for a bottle of ink”.

Como virar um economista (medíocre) ...

(16-19) The importance of being idle

Notes on Robinson Crusoe, Chapters 16  through 19.

The importance of being idle is an idea that Robinson would never support.

Even when the rain got tougher, and he could not get out of his cave, he would work inside of it in order to widen his house (or kitchen as he named it).

After 10 months on the island, Robinson has built a castle and a summer house. He has learned to dry grapes and make raisins, which fed him during winter.

Probably his attitude toward labor prevented him from getting mad. Had he followed the Greeks and their idle worship, instead of working hard every day of his life on the island, he wouldn’t have raisins when the first winter arrived. Or, even worse, he would go completely crazy after a few days. The calm days would be dull and the rainy days would be quite scary without his fortress to shelter him.

The Greeks had slaves to work physically while they worked their minds.

In that context, idleness might have had a positive outcome in terms of how much beautiful knowledge the Greeks have given us. 

It would be nice, however, if we could ask a Greek slave whether he agrees with this statement...

(12 - 15) The Economics Island

Notes on Robinson Crusoe, Chapters 12 through 15:

The Economics Island: Microeconomics, Keynes and Marx.

Usually economists use Robinson’s example to illustrate Microeconomics concepts, and that’s pretty useful, after all Microeconomics tries to understand the human being mindset without considering social / institutional feedback effects over the individual.

That’s probably a very poor definition, but I hope it helps you understand why Robinson is such a lovely character to us economists (so glad I can finally say that!).

The Economics Island, though, makes one wonder about other economists, and how well would their theories fit into this story. Particularly, I wonder, would Marx’s “Commodity Fetishism” or Keynes’ “Liquidity Preference” be related to the book? Maybe I’m way out of line here, but I believe both authors explain quite well this passage:

“ The last thing I found was a secret drawer in the cabin. In that drawer there was some money (…) I smiled to myself when I say this money. ‘O useless stuff!’ I cried. ‘What are you good for now? You are not worth picking up. This little old knife is worth much more. I have no manner of use for you. Lie there, where you are, and go to the bottom’. I was about to leave the cabin when I looked around again. The bright pieces were so pretty that I could not bear to leave them.”

Isn’t this passion for money, even in a situation where it can’t be used, somewhat surprising?

It makes me think about the intrinsic value of money, or how people valuate money independently of the goods that it can buy. Keynes explains why people leave bequest to their children using the intrinsic value of money argument, for instance, and, the very same concept suits pretty well the passage above.

Perhaps Marx’s “Commodity Fetishism” shall be evoked. I would definitely do that if I could.

I suppose this concept is also related to the passage above, but, I’m not sure that I can prove my point, so, let’s just keep that as a hypothesis for now…

(7 - 11) Protestantism, Labour and Salvation

Notes on Robinson Crusoe, Chapters  7 through 11.

Robinson sat down and cried like a baby, after all he was a human being,

not a robot. But he soon held his tears and started thinking about the wild  

animals that could be near him. If Robinson had kept crying and complaining

about his situation, he could have died that first night, but, instead of

lamenting, he was smart enough to climb a tree and spend a sound night.

In the next morning the main subject of the book finally appears:

Labour and Salvation.

Robinson soon finds out that only hard work will keep him alive on this

Island. The relation Labour / Salvation, portrayed by Protestantism, is key to

Robinson’s  survival on the island. On his second day, Robinson has to work a

lot in order to build a raft and bring food and some other things from the ship to

the shore. He manages to bring everything ashore and, all his sweat will

definitely pay off sooner or later.

We already knew that Robinson is a brave man. Now we have found

out that he is a very clever and patient man as well. Will these skills be enough

to keep him alive?

He has guns, powder, food, clothes, tools, courage and brains, what else

does he need to survive in such a wild environment?

Perhaps some luck?

(1 - 6) Robinson Crusoe in the Economics Island

Audiobook: http://www.booksshouldbefree.com/book/robinson-crusoe-written-anew-for-children-by-james-baldwin

Ebook: http://trwheeler.com/ebooks/crusoe_adapted.pd

Notes on Robinson Crusoe, Chapters 1 through 6.

Amazing story, I can't wait to read the next chapters.

Everything happens very fast...

From a boy in old York who wanted to be a sailor to a grown man cast away in a strange island!

Does he regret not listening to his parents?

It's hard to answer to this question. He is probably scared now, seeing all his mates are dead. But, still, I don't think he regrets; after all he wanted to be a sailor and a sailor he has become!

We will have to continue reading the book so we can answer to that question, but we have already seen that Robinson is a very brave man, so I think he will figure out how to survive at this island.