Tag Archives: Uncategorized

from Lars Syll Milton Friedman’s Permanent Income Hypothesis (PIH) says that people’s consumption is not affected by short-term fluctuations in incomes since people only spend more money when they think that their lifetime incomes change. Believing Friedman is right, mainstream economists have for decades argued that Keynesian fiscal policies, therefore, are ineffectual. As shown over and over again for the last three decades, empirical facts totally disconfirm Friedman’s hypothesis. The...

from David Ruccio Liberals like to talk about all kinds of social ills and identity-laden tensions—but not class struggle. That’s their persistent and enduring blindspot. Except, it seems, when it comes to Donald Trump.  Thomas B. Edsall is a good example. Over the years, he’s produced a series of solid, insightful surveys of liberal research and analysis on a wide variety of economic and political topics. But he hasn’t written much if anything about class—until his latest, titled “The...

Thanks to everyone who commented on the first eleven chapters of my book-in-progress, <em>Economics in Two Lessons</em>. Here’s a draft of <a href=”https://www.dropbox.com/s/seojgihd4mrkcrq/QuigginChapter%2012Draft.pdf?dl=0″>Chapter 12 on Predistribution</a> Comments, criticism and praise are welcome. <!–more–> Earlier draft chapters are available. These aren’t final versions, as I am now editing the entire manuscript, but you can read them to see where the...

from Lars Syll 1. Change the goal: from GDP growth to the Doughnut. For over half a century, economists have fixated on GDP as the first measure of economic progress, but GDP is a false goal waiting to be ousted. The 21st century calls for a far more ambitious and global economic goal: meeting the needs of all within the means of the planet. Draw that goal on the page and – odd though it sounds – it comes out looking like a doughnut … 2. See the big picture: from self-contained market to...

A new sandpit for long side discussions, conspiracy theories, idees fixes and so on. Like this:Like Loading...

from David Ruccio Forget Bitcoin. It’s the underlying technology, blockchain, that is generating the most excitement. Even utopia! Bitcoin is a digital currency that was invented in 2009 by a person (or group) who called himself Satoshi Nakamoto. His stated goal was to create “a new electronic cash system” that was “completely decentralized with no server or central authority.” After cultivating the concept and technology, in 2011, Nakamoto turned over the source code and domains to...

This post “America’s allies should respond to steel tariffs with targeted sanctions on the Trump Organization” by Matthew Yglesias is brilliant (even though he is mainly agreeing with the prior brilliant article by Scott Gilmore “Trade sanctions against America won’t work. Sanctioning Trump himself might.” The proposal is so brilliant and the case for it so clear, that, I think, each title is enough to convey the idea. Yglesias elaborates while quoting...

Considering the present architecture of the Eurozone – there is according to Erwan Mahé no obvious way to solve the Italian Euro crisis… From: Erwan Mahé I sent this little collage on 25 May, via IB Bloomberg chat, as the BTP began to decline, since it seemed to sum up the best attitude to take towards the near hysteria afflicting the Italian debt market at the time. From a high of 132.88 on Monday 25 May, it plunged to as low as 120.10 the next day, reflecting a full one per cent rate...