Mike Norman Economics

Pepe Escobar reviews Prof. Glenn Diesen's new book, The Ukraine War & The Eurasian World Order. Escobar recently reviewed Emmanuel Todd's La Défaite de L’Occident (“The Defeat of the West”).The reviews are short and present views that suggest the world order is changing not only politically but also economically as a result of decolonization. This emerging trend portends to grow the pie for all albeit not without growing pains as the dominant parties attempt to maintain their...

China’s state-led economic development model and robust industrial policy has transformed it into what an influential European think tank calls “the world’s sole manufacturing superpower”, making up 35% of global gross production – more than the 9 next largest manufacturers combined.…China has overseen world-historic economic growth through a government-led development model, in which state-owned enterprises control the natural monopolies and “commanding heights” of the economy, state-owned...

Volatility for one, and rate cuts are not what you think.

It’s wishful thinking to think it’s being driven by wishful thinking…The EU's idea of the reform of the fiscal framework is unworkable in practice. It will lead to recession and crises and higher public deficits and debts. Instead of building the reform on hard science (incl. accounting & empirical observation), it is driven by wishful thinking.— Dirk Ehnts (@DEhnts) January 30, 2024 It’s being driven by a type of academic practice that doesn’t exist in the “hard sciences “…...

I often make the point in talks that the fictional world that mainstream economists promote leads to poor decisions in the real world by our policy makers. We saw that in the 1980s and 1990s with the large scale privatisations of public enterprises, touted as employment-enriching, productivity-boosting strategies to provide ‘more money for government to spend on welfare’. We now have enough data to know that in almost all the examples the promises have not been fulfilled and the outcomes...

 Pepe Escobar relies heavily on Michael Hudson's economic analysis for his five "variables."Sputnik InternationalPepe Escobar: Five Variables Defining Our FuturePepe Escobar

I told you not to worry.

How can this be? 

For the record. Warren Mosler.Seeing the ForestThis Is How Money Works (Video)Dave Johnson

Today, I reflect on the latest public finance data released by the British Office of National Statistics which shows the fiscal deficit is smaller than expected. Even progressive journalists have written this up as providing more scope for pre-election largesse to be provided. The fact that the fiscal balance is lower provides no more or no less scope for the government to net spend. The relevant questions that should be answered before such an assessment can be made are ignored by the...