Not much else to say: The recession has hit middle-income and poor families hardest, widening the economic gap between the richest and poorest Americans as rippling job layoffs ravaged household budgets.The wealthiest 10 percent of Americans — those making more than $138,000 each year — earned 11.4 times the roughly $12,000 made by those living … Continue reading US income gap widens as poor take hit in recession – Yahoo! News
People who worry the most about the recent increases in US government borrowing are generally worried about one of two things: crowding out or inflation. They fear that either if The Fed doesn't "print new money" for the govt to borrow, then the government's demands for borrowing money will drive up interest rates. This driving … Continue reading There’s No Crowding Out Here.
Yes, patents, copyrights, etc., the intellectual so-called property protections are really profits-protection for existing large corporations. The stronger patents and copyrights are, the weaker is innovation and growth. ...weaker IP protections might actually correlate with economic growth,... via Scholarly Communications @ Duke » The joy of statistics.
Well, actually it likely wouldn't save the whales. But, abolishing patents would likely re-invigorate the economy, revive competition, lower costs (particularly healthcare costs), and speed up innovation. Levine and Boldrin help lay out the case against patents in this piece. An excerpt ( I recommend following the link): Abolishing so-called intellectual "property" (IP) won't solve … Continue reading Save the Whales! Abolish Patents!
Bruce Bartlett explains why a "balanced budget" for the US federal government is an impossibility. Unfortunately, most people who strenously object to the deficit and want a balanced budget simply don't understand the realities. They often confuse "millions" and "billions" (it takes 1000 millions to equal a billion). They further operate from greatly distorted ideas … Continue reading Why We Really Need to End the Empire: “We Can’t Cut Spending – Forbes.com”
Krugman writes on the origins of the split between "saltwater" (Keynesian & New Keynesian macro) and "freshwater" ("rational expectiations, real business cycle) macro economics. Memories of the Carter Administration - Paul Krugman Blog - NYTimes.com.
Excellent analysis of income inequality data in U.S. and refutation of the view that the U.S. has not had rising income inequality: Economic Inequality: The Wall Street Journal is Just Wrong
William Easterly strikes again in Won’t shut up about Afghanistan (Aid Watch). I must agree with him: So, after years of experimentation, we can now start applying these subtle, complex lessons: (1) Don’t kill, (2) Don’t steal, (3) Don’t give aid to those who do.
Long, but excellent reading on the recent (last few decades) of the history of macro thinking. I think Krugman understates some issues, but much of it is good. I recommend. It’s hard to believe now, but not long ago economists were congratulating themselves over the success of their field. Those successes — or so they … Continue reading Krugman on How Did Economists Get It So Wrong? – Excellent
Yesterday the Obama admin forced GM CEO Rick Waggoner to resign as a condition of continued support for GM's restructuring. Yet, the administration has not yet demanded any of the banks change management (except AIG & Fannie last Sept), despite the banks using 18-20 times as much bailout money. Several folks have asked me why? … Continue reading Why GM’s CEO is out, but no bank CEO is gone