Category: Economic Issues
Ideas about how an economy works. Organized ideologies about economies go by names like Keynesianism, neoclassical economics, socialism, etc., etc.
Morality and Capitalism
All a capitalist cares about? Photo Credit: Freeimages.com/Fernando Mengoni There are many such as Barack Obama, Hillary Clinton, Bernie Sanders, Elizabeth Warren, and Bill Gates, … Read More
Failures of New Keynesian Economics
The wreck of an elegant model! Photo Credit: Flickr.com/Kevin Hutchinson The New Keynesian economics is such an elegant mental construct that it is … Read More
How New Keynesians Explain 1970s Stagflation
Dr. Jimmy Carter’s Stagflation Advice: “I’m Going To Give It To You Straight—I Don’t Have Any Idea What I’m Doing.” … Read More
New Keynesian Adjustments for Inflation
One view of what to do with too much money! Photo Credit: CanStockPhoto.com/dolgachov (c) Can Stock Photo [NOTE: Edited on 11/13/2015 to ensure proper interpretation of the Taylor … Read More
Inside the Mind of a New Keynesian
A New Keynesian’s Brain Image Credit: FreeImages.com [NOTE: Edited on 11/13/2015 to ensure proper interpretation of the Taylor Rule.] There can be no doubt … Read More
Blowing Up the New Keynesian Model
Demolition Explosion! Photo Credit: U.S. Department of Energy I am beginning to see suggestions that it is time to blow up New Keynesian economics to smithereens … Read More
The First of the BEPS Refugees
Leaving the U.S. for more salubrious climes! Photo Credit: free images.com/Oziris Last June 10 I wrote a heads-up about a wave of large corporations possibly leaving the United … Read More
Cognitive Dissonance
Confusion and Illumination This morning, reading an account of how U.S. GDP increased by only 1.5% in the third quarter of this year, I fell into another unsettling and uncomfortable sense … Read More
What Does Falling Money Velocity Tell Us?
A falling dollar? Image Credit: Flickr.com/Horia Varlan In our last post, Should We Expect Inflation or Deflation?, we discovered several things about why … Read More
Should We Expect Inflation or Deflation?
Money balloon being popped! Image Credit: CanStockPhoto.com/jgroup Among the most confusing questions of the last decade is whether we are currently in an inflationary economic environment, … Read More
Another Housekeeping Note!
Housekeeping Image Credit: Wikimedia Commons/Quadell Well, I just had another good idea for making this website more useful – or at least I hope it is! … Read More
Is It Even Possible for the Fed to Raise Rates?
Federal Reserve Chairman Janet Yellin with Sec. of Treasury Jack Lew PD-USGov Janet Yellen and other members of the FOMC have expressed their desire to raise interest … Read More
Will the U.S. Have Troubles Soon Financing Its Debt?
US Treasury Department Building, Washington, DC Photo Credit: Flickr.com/romanboed A nightmare seems to be stalking the executive and legislative branches of the U.S. government. Is it possible they soon may … Read More
The Solow-Swan Model and Where We Are Economically (3)
In this post we will permit more dynamic economic change in the Solow-Swan model than we did in the previous two posts. This is accomplished by allowing the curves describing … Read More
The Solow-Swan Model and Where We Are Economically (2)
Photovoltaic Production Line Photo Credit: canstockphoto.com/06photo In our last post we sketched out the Solow-Swan model of economic growth that created an economic picture of per … Read More
The Solow-Swan Model and Where We Are Economically (1)
They don’t pay me enough! Photo Credit: Flickr.com/Bitterjug OK, everyone! Put on your thinking caps because we are going to be doing some serious macroeconomics thinking. … Read More
The Trans-Pacific Partnership
Container ship from Asia Photo Credit: Flickr.com/Peter Kaminski Last Monday the United States and 11 other countries with shores on the Pacific Ocean reached … Read More
The Importance of Personal and National Savings
A busted piggy bank! Photo Credit: MorgueFile.com/mconnors This morning I endured a period of cognitive dissonance while reading a May 2015 fortune.com post entitled Are Americans saving too much of … Read More
The Rahn Curve and the Way Out of Economic Peril
Image Credit: Foundation for Economic Education, fee.org Feeling rather morose after writing the post What is the Economy’s Condition?, I was mulling over what I could possibly write to suggest … Read More
Post Script on the Economy’s Condition
This post is a very short post script to yesterday’s post on the economy’s weakening condition. In that post I noted the current evidence of both the stock markets and … Read More
What is the Economy’s Condition?
Grizzly bears looking for a market to eat! Photo Credit: Flickr.com/wallyg We all know the U.S. stock markets are beginning to enter “Bear” territory, but are … Read More
Economic Damage Created by the Fed
With a turbulent flow of easy money having flooded into the banking system, the Federal Reserve System has inflicted great wounds on our economy. In previous posts we have shown … Read More
Achilles Heel of Autocrats: Their Economy
Achilles with Paris’ arrow in his heel. Photo Credit: Flickr.com/texmex5 The national security outlooks of the United States and Western Europe are beginning to look grim. … Read More
A Failed, “Lead From Behind” Foreign Policy (1)
Iranian and P5+1 Negotiators for Iran Nuclear Deal Photo Credit: Wikimedia Commons/US State Dept. At times it seems as if the Obama administration would just as soon wall the rest … Read More
Why Have ZIRP and QE Failed?
Wanted for Bank Robbery Photo Credit: Flickr.com/takomabibelot By now after roughly six and a half years of a … Read More
Quantitative Easing and Its Effects
Federal Reserve Building, Washington DC Photo Credit: Flickr.com/wwarby Despite its impact on our economic well-being, few people seem to know much about Quantitative Easing (QE). QE was a … Read More
The Ideal Tax Regime – 2
In the last post on tax policy I suggested six attributes the ideal federal or state income tax regime should have. I reproduce them below. Taxes should not favor some … Read More
Monetary News from Jackson Hole
Grand Tetons at Jackson Hole, Wyoming Photo Credit: Freeimage.com/Jack Sanders A lot of vital news for the economy came out of two gatherings at Jackson Hole, Wyoming last weekend. … Read More