Mike Norman Economics

Why Paul Samuelson's assumption of ergodicity is not applicable to economics.Lars P. Syll’s BlogWhy ergodicity mattersLars P. Syll | Professor, Malmo University

Ok 1Q is over and Treasury projected their balance at quarter end to be $800B here:Well let’s see how they did here:Oh , only off by $300B .... a mere bag of shells....   AND they deposit $259B from securities issuance while withdrawing only $120B redeeming securities on the last day to make their miss EVEN WORSE right at the end.... what kind of dopes do we have working there?Usually if you want the account balance to reduce you have to withdraw MORE than you deposit... that’s the way it...

Not a bubble. Stock market is discounting strong economic growth and rapidly expanding corporate earnings. All from fiscal.

Pretty thorough analysis of the geopolitics of the region. The dragon is spreading its wings there, too.India PunchlineThe China-Iran pact is a game changer – IIIThe China-Iran pact is a game changer – Part IIThe China-Iran pact is a game changer — Part IM. K. Bhadrakumar | retired diplomat with the Indian Foreign ServiceSee alsoOriental ReviewFalse Reasons Of American Trade WarRonny P. Sasmita

So, the question my friends and I were asking ourselves is not a new one, but it is still pressing: is artificial intelligence, and its coterie of related digital instances, a general enough technology to do what the various industrial technologies did a couple of hundred years ago? Are we in the midst of a total reconstruction of society? If so, who is in charge of that reconstruction?One of our frustrations is the glibness of economists who simply argue that in the long run the current...

As we begin to read Volume 1 of Capital, we must recall that half a century has passed since the publication of Ricardo’s Principles. If I may adopt a lovely trope used to such great effect by Thomas Piketty, the England of David Ricardo was Jane Austen’s England, whereas the England of Karl Marx was Charles Dickens’ England. In the intervening 50 years, factories had sprouted up not only in the north of England but in London as well and a large working class of low-paid factory workers had...

Another positive review.It’s a common sentiment that printing large amounts of money is a bad thing because it causes inflation. There has been a lot of hand-wringing lately due to the now three COVID-19 relief packages Congress has passed, which have triggered the printing of trillions of dollars. Forty percent of all U.S. dollars currently in existence have been printed in the last year; conventional economics would portend massive increases in prices or inflation, possibly to the point of...

Positive review.The LoopThe Deficit MythTerry Sullivan

One of the major complaints that Milton Friedman and his ilk made about the use of discretionary fiscal policy was that time lags made it ineffective and even dangerously inflationary. By the time the policy makers have worked out there is a problem and ground out the policy intervention, the problem has passed and the intervention then becomes unpredictable in consequence (and unnecessary anyway). The Financial Times article (March 29, 2021) – To compare the EU and US pandemic packages...

No, but a lot of people still think so, even after the "widow-maker" trades that followed expectations generated by this erroneous interpretation of what would result from QE when the Fed introduced it in response to the GFC. They should ask former "bond-king" Bill Gross about it. Remember him?MV = PQ (or PT) is an accounting identity if properly understood, but imputing causality in the wrong way results in error even if one understands the symbolism correctly. Or making assumptions that do...