Mike Norman Economics

Implies at least a hold for election year… for now…Hey, I thought Biden always said he respected the Fed’s independence. What gives?“Biden said the Federal Reserve should be discouraged from raising interest rates, in rare comments from the president on central bank policy making” https://t.co/9SnBThvJWU via @bpolitics— Judy Shelton (@judyshel) December 9, 2023

This article is not about MMT as such or even economics, but rather social psychology. It may explain to some degree both opposition to MMT in the face of evidence and also the appeal of monetarism in the face not only of evidence but also fiancial losses sustained from trading on monetarist assumptions. It is also of interest to contrarianism.TL/DNR version:The study’s findings were striking in their similarity to [Soloman] Asch’s original results. In the non-incentivized group, the average...

Episode 7 in our new Manga series – The Smith Family and their Adventures with Money – is now available. Have a bit of fun with it and circulate it to those who you think will benefit …William Mitchell — Modern Monetary TheoryThe Smith Family manga continues – Episode 7 is now availableBill Mitchell | Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at University of Newcastle, NSW, Australia

Don’t cave in to FOMO!

Watch CNBC and get stupid. 

Flows are so strong mid December correction could be shallow.

On November 27, 2023, the Economic Affairs Committee of the British House of Lords completed their inquiry into the question – Bank of England: how is independence working? – by releasing their 1st Report after taking evidence for several months – Making an independent Bank of England work better. The report is interesting because it contains a confusing array of contrary notions. On the one hand, the witnesses to the Inquiry claimed it was “Groupthink” in operation that prevented the Bank...

Sentiment and flows suggest caution.

Watch CNBC and get stupid.

Flows are accelerating. Thanks to fed rate hikes. Yes, fed rate hikes.