Economics

Archive for Economics

Krugman’s Conversion to the MMT Side Is (Almost) Complete

Krugman yesterday: There’s an interesting mix of contrast and similarity between the policy debates in Britain and the United States right now. In both countries — as in every country that retains its own currency and has debts denominated in that national currency — interest rates are near record lows… It’s very hard to come […]

Krugman Ignores His Own Theory and Misses An Important Piece of European History

This whole “what danger is there for a country issuing its own currency?” argument is really slippery. First of all, what these people really mean is, “What danger is there for a country issuing its own currency and in which most of its debts are denominated in this currency?” I.e., even on their own terms, […]

Potpourri

==> Nick Rowe agrees with me that Steve Landsburg’s analysis of paying down government debt is only true if we assume perfect certainty. (Steve I think would totally agree, and that’s why I said in my original post that this was an argument over specifying assumptions for the reader, not about the implications of those […]

Yes Gene, Keynesians Do Focus on Consumption More Than Investment

Gene Callahan is mystified: So, I’m teaching Keynesian economics for the second time. And once again, I’m telling my students that, per Keynesians, recessions occur when intended investment falls short of savings. And the best way to fix this, per Keynesians, is for the government to invest in roads, bridges, parks, education, etc. I’m fine […]

Did Milton Friedman Win Two Nobel Prizes?

UPDATE below. I was googling some stuff to prepare for my second lecture in my Mises Academy class on the Great Depression, and I was skimming Princeton University Press’ blurb on the famous Friedman/Schwartz monetary history of the US. I was surprised to see this: “Milton Friedman won the Nobel Prize in Economics in 2000 […]

Noah Pinion Shows Yet Again That Economists Will Be Strung Up Right After Investment Bankers

[UPDATE below.] I knew right off the bat that Noahpinion was doing something wrong in this patronizing post on inflation, but it took me a minute to figure out where the error was creeping in. But don’t worry, I finally got it. Here’s Noah: Inflation is one of those things that almost nobody who isn’t […]

Potpourri

==> Over at Laissez-Faire I explain my Chevy Chase moment. ==> On carbon taxes, I report you decide. ==> My podcast with “Gadsen Rising.” ==> My podcast on “Patriot’s Lament.” ==> Markets in Everything: An insurance policy for libertarian activists.

Steve Landsburg Thinks the Current Debt Level Is Juuuuust Right

Steve Landsburg and I can have a perfectly civil discussion on theology. He agrees not to mock me (to my face) for thinking a guy can walk on water, and I don’t make fun of him for worshipping irrational numbers. But when it comes to government debt, I think Steve and I might just have […]