Mike Norman Economics

In principle, a currency’s command over any category of real input or output can be considered in terms of a suitably defined price index. The present focus is on the aggregate level and, in particular, a currency’s command over real final output. Earlier posts explore the topic in greater depth (links below). This is a crib notes version....heteconomistA Currency’s Command over Real Output in a NutshellPeter Cooper

I started a piece and then scrapped it, so I will just make a short comment on what I am seeing. Putting aside the questions of how the pandemic will evolve (I am not the person to ask), inflation and/or supply chain issues are obviously the main concern, with a secondary helping of politics.Supply chain disruptions were something that always came up in brainstorming about potential macro surprises — what if the “just in time” inventory system and outsourcing broke down? Well, the...

MMT proponent Steve Keen is running for the Senate in Australia’s upcoming election. In these unstable times this could be an interesting event. We wish him the best of luck....Brave New EuropeSteve Keen – Australia: MMT Runs for OfficeCross-posted from Steve’s website

This isn’t the post I sat down to write, but I wanted to lay this foundation before tackling the next set of questions. Here’s where we’ll go next…If MMT (and Keynes and Tooze) are correct that anything we can actually do, we can afford, then how do we operate in a world where that truth is revealed to the broader public? Are MMT economists too cavalier about the risks of inviting everyone in on the secret? Is honesty really the best policy, or do we need deficit myths and old-time budgetary...

States with lots of antivaxxers will feel it in their pockets as their economies dive. Fox News mandates vaccines, but this is never mentioned in its broadcasts, or that Rupert Murdoch got vaccinated. Vaccinations have become politicized: The AntiVaxxers of the past few decades were founded on a debunked belief linking Vaccines and Autism.Thanks to Q-Anon, Fox News, OANN, NewsMax (and others), large swaths of the population now believe that Vaccines are problematic.What was once a bizarre...

 Jonathan Cook put out an article today about how covid vaccines are leaky, which could promote dangerous mutations. He tweeted research that was done by Professor Andrew F. Read and his colleagues. I replied straight away debunking Cook when there were only a few comments, so he must have seen my tweet. I got only one like, but my tweet completely demolished his article. There are only 37 replies to Jonathan Cook's tweet, and he replied to a number of people, but completely ignored mine up...

Shelton on with Bannon this week to discuss the current economic situation under the Biden people… A lot wrong here … they think abstractions are real… banks have a choice to possess regulatory reserves… banks lend out the reserves… much more… And she was nominated to Fed so she is typical of the type of people there and going there..,  MMT complete failure of pedagogy… we’re still in big trouble…

The CPC will soon tame the Evergrande collapse without much problem, says Ed Yardeni. Also, he says how the central bankers learnt a lot in 2008, so were able to keep the economy going during this pandemic.Ed Yardeni, Research President and Chief Investment Strategist, talks the implications of China Evergrande's potential collapse[embedded content]https://youtu.be/Edbd3db_uDY

1Department of Applied Mathematics and Statistics, Stony Brook University, Stony Brook, NY, USA2De Vinci Finance Lab, École Supérieure d'Ingénieurs Léonard de Vinci, Paris, FranceWe will subsequently discuss why we argue that neoclassical economic and finance theory is not an empirical science as presently formulated—nor can it become one. In physics, observables are processes obtained through the theory itself, using complex instruments. Physical theory responds to empirical tests in toto;...

But GOP Sen. McConnell is loudly declaring no GOP will support raising it, and has threatened a filibuster, although reconciliation can get around that if all Dems agree. However, even as he is loudly declaring not GOP support for raising the debt ceiling, he is also demanding that it be raised so that government bills get paid. I really have no comment on this further, aside from noting that this is just further evidence on why this silly thing needs to be done away with once and for...