Bob Murphy

Author Archive

Fun Facts About Mortgages

==> Currently the Fed holds about $1.7 trillion in mortgage-backed securities. The ostensible purpose of this massive bond-buying was to prop up the mortgage market, which props up the real estate market, which ultimately provides relief to struggling homeowners who are underwater. ==> The total outstanding mortgage debt on one- to four-family residences is $9.9 […]

The Interest Rate Fed Pays for Required versus Excess Reserves

I have known since it happened (in fall of 2008) that the Fed began paying interest on excess reserves held by the commercial banks. However, I haven’t seen much discussion about the discrepancy between the rate paid on required versus excess reserves: This San Fran Fed paper gives the basics on the topic, but does […]

Conservatives Shouldn’t Trust Irwin Stelzer on Carbon Tax

Irwin Stelzer is an establishment figure in conservative circles (he was editor of The Neocon Reader for example). He has been pushing conservatives to embrace a carbon tax, and recently had a piece in The Weekly Standard to that effect. I respond at IER. An excerpt: As Stelzer himself notes, many of the people clamoring […]

David R. Henderson Praises Krugman on War; I Am Cynical

Because he’s such a nice guy, David R. Henderson tries to praise Paul Krugman whenever possible. For example, David (a frequent contributor to antiwar.com) recently showered kudos on Krugman’s thoughtful essay on “Why We Fight.” I realize I should just be glad that Krugman is at least writing a column with which I wholeheartedly agree, […]

Potpourri

==> Rob Bradley in Forbes explains the long evolution of free-trade thought from Adam Smith to…me. ==> I explain that banks can fulfill their two functions even with 100% reserves. ==> I helped with some of the research, but Dan Simmons has a post at IER pushing back against the Administration’s claims about forest fires […]

St. Louis Powell Shooting: Police Story versus Video

See how much you guys think the video matches up with how the police initially described the shooting of Powell: UPDATE: Well, it’s restricted. You can watch the video directly here.

The Problem With the Police Is That It’s Not Just a Few Bad Apples

(Unless we mean “a few” in the way Krugman does when discussing ObamaCare.) Gene Callahan–author of Economics for Real People and once a frequent co-author with me on libertarian articles–has a new blog post in which he chastises libertarians for their over-the-top denouncement of the police State. Here’s Gene: I received a phone call today […]

The Bigger Threat: The Police State or Looting?

You can guess my answer. Here’s an excerpt, but you should follow the link for my surprise conclusion! But let’s put aside the specific triggers of riots and looting, and take them as given. It still doesn’t follow that we need a strong State to protect innocent lives. No, as I’ve explained elsewhere (try here and here), a […]