ABSTRACT
The Looking-Glass Utopia is blessed with 500 sets of twins. Of the 1,000 inhabitants, 500 are Dums (each one a perfect replica of Tweedledum), and 500 are Dees (each one a perfect replica of Tweedledee). Every Dee makes exactly the same choices as Tweedledee. They are about to settle their differences in a typically adult fashion — by preparing for a battle — when along comes Uncle Adam. Uncle Adam tells them that there is no need to fight. There is a method of settling their dispute which will make them all better off. It is called "free competition". What makes it particularly attractive is the surprising promise that each individual can pursue his own self-interest. The price level is determined by the supply of money and the demand for "real balances" operating through pressure on supply and demand in the product markets.
