I normally try to keep my posts to economics topics. But sometimes the political overlaps the economic. In recent weeks there's been a large fuss about full-body scanners and intrusive "pat-downs" by TSA agents at major airports. I won't comment too much about this, but I will note two things. First, the former Secretary of … Continue reading We Were Warned
Month: November 2010
Congressional – FAIL economics
In a previous post I noted that members of Congress usually don't understand economics at a level to even pass a Principles Econ 201 or 202 course. More proof from Pat Garafalo of Think Progress. Apparently Rep. Shadegg of Arizona, a Republican representative for at least 5 years doesn't understand that consumer spending is essential … Continue reading Congressional – FAIL economics
Are Banks Necessary?
At first pass the question "Are banks necessary?" strikes a macroeconomist as absurd. Of course, we say. But what does the empirical record say? It actually happened in Ireland some 35-45 years ago. From Wikipedia: Irish bank strikes 1966-1976 From Wikipedia, the free encyclopedia The Irish bank strikes between 1966 and 1976 were three strikes of about … Continue reading Are Banks Necessary?
Napoleon on Bank Bailouts
From Alistair Horne, The Age of Napoleon: Yet when Recamier pleaded for a modest government loan to bail out the bank, Napoleon was unapproachable and unforgiving, writing from Austerlitz within days of his triumph (December 7, 1805), "Is it at a time like this that I must be obliged to make advances to men who … Continue reading Napoleon on Bank Bailouts
Corporate America’s Plans for Recovery
Tom Toles (as usual) graphically summarizes Corporate America's plans for reviving the U.S. economy:
Washington Post – FAIL on Fiscal vs. Monetary Policy
I have long observed that any students who pass Econ 201 and Econ 202 with good grades and then remember what they learned are far and away more knowledgeable about economics than the majority of Congress. Now I must add "far more knowledgeable than the nation's leading(?) newspaper editors." Observe the Washington Post in an … Continue reading Washington Post – FAIL on Fiscal vs. Monetary Policy
A Little Oil History
While most history books focus on 1860 as the year Lincoln was elected and the South decided to secede making the Civil War inevitable, there was another momentous event happening. In Pennsylvania they found oil (petroleum) and found uses for it. It sealed the fate of the New England whale oil industry and set the … Continue reading A Little Oil History
Ireland: “Responsible” Policy Punishes Citizens for Bankers’ Sins
Poor Ireland. For some unknown reason, the Irish seem doomed to suffer under the misguided rule of others, despite being the source of great music, culture and a brew so good For centuries, the oppressor was the English. In this century Ireland has fallen under the boot of the bankers and The Powers … Continue reading Ireland: “Responsible” Policy Punishes Citizens for Bankers’ Sins
GDP vs. GNP
Gross Domestic Product (GDP) is the measure economists typically use to indicate the total size or value of economic production in an economy. There is a similar measure called Gross National Product (GNP). Older readers from the U.S. will probably remember learning something about GNP when they were younger. That's because until a few decades … Continue reading GDP vs. GNP
Thanksgiving
I want to thank all of my readers for reading the blog. I want to thank all my students for being there, listening, learning, and working hard. You make my life richer. I also want to thank my wife, family, and friends for all their support. Enjoy your day all, for tomorrow the hordes will … Continue reading Thanksgiving
EconProph 