Mike Norman Economics

If this happens, we can all retire in 2 years.

There are three main steps needed to calculate a consumer price index.Determine weightings based on consumption.Go out and measure prices in the economy.Aggregate the measured prices into sub-indices which are in turn aggregated into an overall price index.Statistical issues ensue. Bond EconomicsInflation Index Calculation BasicsBrian Romanchuk

Op-ed by MMT economist Yeva Nersisyan.The HillLowering inflation isn’t a job for a one-trick ponyYeva Nersisyan | Associate Professor of economics at Franklin and Marshall College

In response to a question on how the sanctions environment would affect the energy market, bin Salman told an industry conference in Riyadh: "All of those so-called sanctions, embargoes, lack of investments, they will convolute into one thing and one thing only, a lack of energy supplies of all kinds when they are most needed".ReutersSaudi minister warns sanctions, underinvestment may cause energy shortagesRelatedEurope was forced to abandon [cheap] long-term contracts and make the...

Forecasting recession for the end of year unless construction data reverses. Single variable thinking based on one key factor only, or is he onto something?MacrocosmForecasting a recession with construction dataPhilip PilkingtonSee alsoAmid labor-supply constraints and economic shocks, the case for productivity-boosting interventions is clear. Unless US policymakers use a combination of investment and incentives to reverse negative productivity trends, the US will achieve modest growth, at...

Video and transcript. The video is from  4 days ago. The transcript takes a couple of days to prepare.Naked CapitalismThe Economics of the Ukraine Proxy War with Michael Hudson and Radhika DesaiDanny Haiphong at the Left Lens channel interviews Michael Hudson and Radhika Desai

Geopolitics, the global economy, and the future. Longish but important. Brave New WorldJeffrey D. Sachs – The New GeopoliticsJeffrey D. Sachs | University Professor and Director of the Center for Sustainable Development at Columbia University, where he directed The Earth Institute from 2002 until 2016. He is also president of the U.N. Sustainable Development Solutions Network and a commissioner of the U.N. Broadband Commission for Development. He has been adviser to three United Nations...

Well, things are getting interesting in the US. The Federal Reserve started hiking interest rates in April 2022 and its decisions are underpinned by an theoretical framework that suggests the unemployment rate is below what it thinks is the natural rate (the rate where inflation is stable). So the rate hikes are meant to slow spending and increase the unemployment rate and cause price setters to stop accelerating prices up. Except the data isn’t obeying the theory and inflation is falling...

MNE dispatched its roving reporter to the Atlantic coast today to cover the shoot down of the China spy balloon here is the footage:Our reporter on the scene heard 2 explosions… This may have been an initial miss:Then this might have been the hit:1 points to the China spy balloon and might be the location of the hit … 2 might be the area of an initial miss… and 3 is the interceptor aircraft exiting the space to the south…MNE can report we last saw it deflated and falling slowly towards the...

Pandemic stimulus not the cause. Fed runs its accustomed playbook to screw labor and reward capital based on junk economics.Naked CapitalismJames Galbraith: The Quasi-Inflation of 2021-2022 – A Case of Bad Analysis and Worse ResponseJames K. Galbraith | Lloyd M. Bentsen Jr. Chair in Government/Business Relations and Professor of Government at the Lyndon B. Johnson School of Public Affairs, The University of Texas at AustinOriginally at INET