We’ve Had Class Warfare Since 1980 – The Workers Lost

Whenever some politician, typically a progressive, begins to talk about redistribution of income,  the more conservative politicians, backed by "serious political pundits" counterattack by claiming "class warfare".  It's apparently one of the givens in Washington that any form of redistribution of income, be it by progressive taxes, measures to protect unions, help to the unemployed, … Continue reading We’ve Had Class Warfare Since 1980 – The Workers Lost

Debt Ceiling: Kabuki Theater of the Absurd

Tuesday evening the House of Representatives voted on whether to raise the so-called "debt ceiling".  It was pure charade.  No, it's worse. It's kabuki theater of the absurd.  First off, the House Republican leadership knows it's only for show.  The reality is that Congress will vote to raise the limit later this summer.  They have … Continue reading Debt Ceiling: Kabuki Theater of the Absurd

Corporate Entitlements: Music Edition

Well sorry to all for the two-week absence, but I'm back from being on the road and all the end-of-semester stuff the school requires. There's a myth that's pushed and carefully nurtured by corporate executives and conservatives.  It's the image that "private enterprise" lives and dies by the market and that the profit motive is … Continue reading Corporate Entitlements: Music Edition

Gov. Rick Snyder Invokes the Magic Job Genie

The mantra of Republican governors (and in Congress) has been that taxes must be cut in order to create jobs.  In previous posts I've dealt with the confusion about how federal level changes income taxes  might or might not affect the strength of the economy. Most of the federal tax discussion focuses on individual income taxes. … Continue reading Gov. Rick Snyder Invokes the Magic Job Genie

Just What Is Inflation? Is A Monster Just Around The Corner?

A casual reader/listener of many economics blogs, news stories, cable shows, and political speeches (in other words, the usual sources), would be forgiven for thinking that "inflation" is some awful comic-book super-villain that constantly threatens society.  It's as if they think that any momentary lapse in vigilance that allows perhaps a declining unemployment rate will … Continue reading Just What Is Inflation? Is A Monster Just Around The Corner?

Tax Rates Are Historically Low

The  Difference Between Average and Marginal Taxes U.S. average tax rates are at historical lows.  Yes, that's right. Our taxes aren't "high", despite the Tea Party's claim that we are "taxed enough already".  The average family pays approximately 5% of gross income as U.S federal income tax. How can that be you ask?  Well, the … Continue reading Tax Rates Are Historically Low

Tax Cuts and Economic Growth, Once More – the Corporate Tax Version

The issue of tax cuts and economic growth, which I've discussed recently here and here, looks like it's going to be an important topic for some time now judging by this week's announcement from Paul Ryan, one of the Republicans in the U.S. House of Representatives.  While all the attention in the media has been … Continue reading Tax Cuts and Economic Growth, Once More – the Corporate Tax Version

Tax Cuts, Tax Revenues, and Growth: Reconciling Theory with Evidence

Yesterday I made a post about how federal tax revenues have not increased as a result of the Bush tax cuts from 2001. Actually much of the post is based upon an analysis of official data that David Cay Johnston did.  In the comments though, William Sullivan asks: I realize that economic growth, as measured … Continue reading Tax Cuts, Tax Revenues, and Growth: Reconciling Theory with Evidence

“Piracy” Is the Result of Market Failures

Publishers of digital media, be it music, movies, or software, have long argued that it's a legal and moral problem.  The reasons, they claim, that unauthorized copies (I refuse to call them illegal or pirate) exist is because either organized criminals are stealing their "intellectual property", or people are too stupid or immoral to respect … Continue reading “Piracy” Is the Result of Market Failures

News Flash: Federal Taxes Have Plummeted

David Cay Johnston reported this a few weeks ago and I almost missed it.  It's particularly relevant, though, what with official Washington talking about how to cut spending, restrain the deficit, etc. (at least attacking the English language with euphemisms about war in Libya). Let's recap what Washington, especially Republicans, have been saying (from Johnston's … Continue reading News Flash: Federal Taxes Have Plummeted