The Wall Street Journal is now admitting that we are in a liquidity trap. This is something the Keynesian have been saying for the past two and a half years. At that same time; the Journal Op-Ed pages have been warning about inflation and interest rates while hyping gold.
Category: economics
When do the Job Creators arrive?
Government was cut without raising taxes. Taxes are at a 50 year low. The size of local and state governments are rapidly dropping. Enforcement of regulations is reaching a record low. Regulatory costs are near a 50 year low. This is just about everything the GOP has wanted for 30 years now. So when do… Continue reading When do the Job Creators arrive?
Putin says U.S. is parasite on global economy
Russian Prime Minister Vladimir Putin accused the United States Monday of living beyond its means “like a parasite” on the global economy and said dollar dominance was a threat to the financial markets. From Putin says U.S. is parasite on global economy | Reuters Putin is an awful proto-despot that is holding back both political… Continue reading Putin says U.S. is parasite on global economy
Lawyers, Coins, and Money
there’s no similar limit on the amount of coinage. A little-known statute gives the secretary of the Treasury the authority to issue platinum coins in any denomination. So some commentators have suggested that the Treasury create two $1 trillion coins, deposit them in its account in the Federal Reserve and write checks on the proceeds.… Continue reading Lawyers, Coins, and Money
Conservative Origins of Obamacare
Romneycare, is a three-legged stool of regulation and subsidies: community rating requiring insurers to make the same policies available to everyone regardless of health status; an individual mandate, requiring everyone to purchase insurance, so that healthy people don’t opt out; and subsidies to keep insurance affordable for those with lower incomes. The original Heritage plan… Continue reading Conservative Origins of Obamacare
Debt and Forgetfulness
Between 1993 and 2001, federal debt held by the public fell from 49.2 percent of GDP to 32.5 percent of GDP. What stopped the paydown of debt wasn’t liberal big spending; it was demands from conservatives that the surplus be used to cut taxes. George Bush said that a surplus means that the government is… Continue reading Debt and Forgetfulness
The dangers of being wrong on Keynes
Keynes — and others who later elaborated on his work, like Hyman Minsky — taught us that although markets are usually self-correcting, they occasionally enter destructive feedback loops in which a shock to, say, the financial system scares business and consumers so badly that they hoard money, which worsens the damage to the system, which… Continue reading The dangers of being wrong on Keynes
Ending Carbon Socialism
If you seriously believe in markets, you should believe that given the right incentives — namely, putting a price on emissions, through either a tax or a tradable permit scheme — the economy will find lots of ways to emit less. You should definitely not believe, as anti-environmentalists claim, that the result would be economic… Continue reading Ending Carbon Socialism
we have turned good workers into criminals and turned criminals into bad workers
Jose Ranye, 37, bragged he’s the best picker in Americus, the largest community near the farm. His whirling hands filled one bucket in 25 seconds. He said he dumped about 200 buckets of cucumbers before lunch, meaning he earned roughly $20 an hour. He expected to double his tickets before the end of the day.… Continue reading we have turned good workers into criminals and turned criminals into bad workers
Krugman on Keynes
This video of Krugman on Keynes is worth watching.