Financial Economics

Archive for Financial Economics

Lord Keynes Beautifully Illustrates Why We Get Nowhere in the Stimulus Debate

My son has off from school today and I have agreed to watch old episodes of X-Men with him in 9 minutes… (Hey, I make sacrifices for the next generation.) Therefore I have to be brief, and can’t paint the picture from scratch, but will instead just dive right into the weeds… In a previous […]

Weissenberger and Murphy Solve the World’s Problems in 46 Minutes

Redmond and I talk about climate models and the euro. Never before have so few pontificated about so much for so long.

Wenzel vs. Murphy: You Decide

[UPDATE below.] Well, Bob Wenzel has already been knighted due to his remarks at the NY Fed, so in the interests of keeping Sir Bob humble, I want to recall something back from November. Some of you may remember that Tom Landstreet and I had a piece run on Nov. 7 on Forbes, in which […]

Yet Another Attempt at the Government Debt and Future Generations Issue

Whoa, I almost spared all of you by forgetting to link to my latest article in the Freeman. I did my best to summarize what is wrong with the we-owe-it-to-ourselves “insight” on government debt. I’m pretty sure the example I spell out in the article is new. Anyway, here is the conclusion: If an imperialist […]

Heads EMH Wins, Tails Its Opponents Lose

More circularity posing as profundity from Scott Sumner on the Efficient Markets Hypothesis (EMH): The past five years should have been an absolute gold mine for the anti-EMH types that supposedly dominates the hedge fund industry. Just think about it. Shiller says stocks are way too volatile, and the US stock market has been incredibly […]

Reminder About Mises Academy Class

Remember kids, my class on Mises’ first major work starts tomorrow; infomercial is here. As I said on Facebook: If you don’t have the money for it, put it on credit. I don’t think we will have the time to talk too much about clearinghouses, but Mises does do a great job explaining that in […]

Income and Consumption: It’s OK to Be Different

You kids know me, when Steve Landsburg has a new post up with which I find myself in 99% agreement, I have to focus on what I don’t like. (It’s not a grudge or anything. I’m actually testing the Coase Theorem’s prediction that Steve will efficiently offer me $10,000 to leave him alone.) Anyway, both […]

New Ways of Understanding the Debt Burden Dialog

Curse Dean Baker! Not only did he mislead (through the amplification by Paul Krugman) millions of people about the danger of government deficits, but then he went and posted again on the topic. This allowed me to skirt my earlier pledge to not post anything else on this. If you can stand it, over at […]