Zero Sum Fallacy

Thoughts that leave me
Chasing after
My dreams disown me
Loaded with danger
--The Fixx

Redistributionists seem to believe that in markets, when X and Y trade, one benefits (say, X) and one loses (say, Y). This is the zero sum fallacy.

We know this is a fallacy because, if the above proposition was true, then there would be few if any transactions on the market. Y wouldn't trade if no benefits were perceived. Voluntary exchange occurs when both X and Y see benefit.

While a political favorite, the zero sum fallacy has no true place in reasoned economic thought.