Blog  RSS Feed

Fed Fueled M & A Destroys Capital

Monday, August 11th, 2014 by posted in Banking, Economics.

The world’s central bankers have given companies the urge to merge. Merger and Acquisition (M&A) activity has already reached $2.2 trillion this year according to Thomson Reuters Deals Intelligence, up 70% from this time a year ago. The deals are

No comments yet

Dating and Politics

Friday, August 8th, 2014 by posted in Politics.

Last fall, a study from the Pew Research Center’s Internet and American Life Project concluded that a majority of Americans believe online dating is “a good way to meet people.” When polled, six out of ten respondents had positive views

No comments yet

Krugman Admits His Inflation Model Has Been Wrong Since Great Depression

Thursday, August 7th, 2014 by posted in Economics.

Precisely because Paul Krugman and I have had an unpleasant exchange of views on the subject, I realize there is a danger in me beating a dead horse, or appearing to be making excuses, whenever I return to the topic of

2 comments

Money Doesn’t Really “Go Into” Other Financial Assets

Thursday, August 7th, 2014 by posted in Banking, Economics.

One of the interesting features of the U.S. economy since 2008 is that despite the tremendous increase in what’s called “the monetary base”—the quantity of dollars that the Federal Reserve directly controls—we haven’t seen a corresponding increase in consumer prices.

4 comments

I’ll punish you by starving my own people

Thursday, August 7th, 2014 by posted in Economics.

Re: Russia bans food imports from US and EU Putin has banned food imports from the US, EU, Canada, and Japan.  He is waging war against his own people in the misguided view that it is money that people desire and

No comments yet

How Group Identities Endanger Freedom

Wednesday, August 6th, 2014 by posted in Philosophy.

There is a verbal sleight of hand practiced in politics so frequently that even the champions of free markets tend to fall into its trap. It is a fallacy of composition relating to the misidentification of a group with its

No comments yet

On Krugman’s Arrogance

Monday, August 4th, 2014 by posted in Economics, Epistemology.

Economist Paul Krugman’s New York Times column dropped off my reading list months ago. His conscious effort to become a kind of parody of himself, a holier-than-thou hero fighting off the scourge of ignorant free marketeers, was too much of

1 comment

Review: The Murder of the Middle Class

Monday, August 4th, 2014 by posted in Politics.

Wayne Allyn Root’s latest book, The Murder of the Middle Class, is the latest in a long line of political books pointing out the obvious shortcomings of the Obama administration and of progressive policies in general. In this respect, it

No comments yet

Trade does not need to be managed

Monday, August 4th, 2014 by posted in Economics, Trade.

From today’s Open Europe news summary: Writing in the Telegraph, London Mayor Boris Johnson argues that “It is clear that 25 years ago we made a miscalculation about one of the consequences of EU enlargement. We were right to want to

1 comment

My letter to USA Today re: John Waggoner’s Sleight-of-Hand

Saturday, August 2nd, 2014 by posted in Law.

Dear Sirs: John Waggoner perpetrates a sleight-of-hand on his readers when he equates investing with gambling in regard to Paul Singer demanding repayment of his Argentine bonds.  Investing is ruled by law, and Mr. Singer is demanding that the law be upheld.

No comments yet

London’s press jumps on QE bandwagon

Friday, August 1st, 2014 by posted in Banking, Capitalism, Economics.

First the Financial Times and now the Economist have jumped on the quantitative easing (QE) bandwagon and called for the European Central Bank to embark on a policy of buying assets in the open market at above market prices–with printed money, of course.  What

No comments yet

Argentina: Another Keynesian Success Story That Wasn’t Their Fault

Thursday, July 31st, 2014 by posted in Economics.

On July 30 S&P declared Argentina’s government technically in default on $13 billion of its sovereign bonds that were restructured after the government’s previous default back in 2002. Inasmuch as several of the world’s major Keynesian bloggers never tire of pointing

2 comments

I’ll punish you by starving myself!

Thursday, July 31st, 2014 by posted in Economics, Politics.

A quote from one of the news summaries found on Open Europe today: “Russia also announced a ban on some fruit and vegetables imports from Poland, and is considering expanding the ban to the entire EU.” I doubt that Putin

No comments yet

Cultonomics and the Austrian School

Thursday, July 31st, 2014 by posted in Economics, Epistemology.

Mainstream economists have long derided the Austrian School as a “cult”. Professor Walter Block recounts stories from Nobelists Gary Becker and James Buchanan off-handedly referring to the cultish Austrians. When pressed by Professor Block, Becker said, “By a cult I

1 comment

Nothing has changed in over two hundred years

Wednesday, July 30th, 2014 by posted in Economics, Politics.

From Edmund Burke’s Reflections on the Revolution in France. (Just substitute “dollar” for “assignats“.  Nothing has changed.) “Assignats.  Is a fleet to be fitted out?  Assignats.  If sixteen millions sterling of these assignats forced on the people leave the wants of the state

No comments yet

Lies for Empire

Tuesday, July 29th, 2014 by posted in Foreign Policy, Politics, Regulation.

In his provocative cover story “Why Liberalism Means Empire” for The American Conservative, Daniel McCarthy makes a rather astounding claim: that liberalism, or rather laissez faire secular order, needs a state hegemon to be long-lasting. I call this argument astounding because

No comments yet

Six Current Economic Myths and Realities

Tuesday, July 29th, 2014 by posted in Economics, Education.

The following are six of the most prevalent economic myths that appear time and again in the mainstream media.  I will give a brief description of each and a brief description of the economic reality, as seen from an Austrian

No comments yet

I’m Shocked! Shocked!

Tuesday, July 29th, 2014 by posted in Economics, Politics.

From today’s Open Europe news summary: In its quarterly report, the Greek Parliament’s State Budget Office has warned that Greece will require a third bailout package to avoid a default, and that despite capital injections, the problems of the country’s banks

No comments yet

Mathematical Economics vs. “Literary” Economics?

Monday, July 28th, 2014 by posted in Economics.

Famed Chicago economist John Cochrane has recently returned from a seminar at the National Bureau of Economic Research (NBER, the organization tasked with determining whether the economy is in a recession or not, and where Ludwig von Mises was employed

2 comments

Easy Money Blood Thinners

Monday, July 28th, 2014 by posted in Banking, Capitalism, Economics.

Reprinted from the Pembroke Observer Since the collapse of Lehman Brothers investment bank in 2008, central banks around the world have created trillions of additional dollars, yen, euros and renminbi. In the immediate aftermath of Lehman’s bankruptcy other banks, unsure

No comments yet