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David R. Henderson Points Out Huge Flaw in Pro-ObamaCare Claims

Thursday, February 20th, 2014 by posted in Economics, Health Care.

The good thing about the Internet is that there is a Hayekian safety net: When a bunch of free-market economists are idiots and overlook an obvious point, eventually somebody comes along to rescue them. For today’s example, we have the

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My letter to the NY Times re: The Fallacy of Planning–set Detroit free

Wednesday, February 19th, 2014 by posted in Capitalism, Civil Liberties, Economics, Politics, Regulation.

Re: A Picture of Detroit in Ruin Dear Sirs: Detroit does not need another worthless plan in order to deal with its problems.  To what end will a “blight plan” be put?  This is the question that should have been asked

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China’s Dollar Trap

Wednesday, February 19th, 2014 by posted in Capitalism, Economics, Foreign Policy, Politics.

Re: China Digs Itself Deeper into Dollar Trap This short Bloomberg article is written from a Chinese point of view; i.e., that China finds itself in a trap having sold over a trillion dollars in goods in exchange for what

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What Causes Inflation?

Wednesday, February 19th, 2014 by posted in Banking, Economics.

When the Bank of Canada talks about inflation, what they really mean is price inflation. That is, the general rise in prices of goods and services. Indeed, justification for the central bank is in its perceived ability “to contribute to

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The Right to Say No

Tuesday, February 18th, 2014 by posted in Law, Politics, Regulation.

In his book Groundwork of the Metaphysics of Morals, German philosopher Immanuel Kant deduced the axiomatic case for why theft is wrong. Because man should act, at all times, as if his behavior can be made universal in law, he

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Capitalism and Fast Food: Delicious Bedfellows

Tuesday, February 18th, 2014 by posted in Capitalism, Regulation.

The World Health Organization has released a lovely little report on the effects of economic deregulation on the consumption of fast food and the average Body Mass Index (BMI) of citizens. To the surprise of no one, the nutrition police

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Bernanke’s QE Programs: Has This EVER Worked in History?

Monday, February 17th, 2014 by posted in Economics.

Now that Ben Bernanke has handed over the keys of the Federal Reserve, there are all sorts of theoretical arguments, pro and con, concerning his bold quantitative easing (QE) programs, in which the Fed massively expanded its balance sheet: Many

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A. Traviss Corry Joins Mises Canada Advisory Board

Monday, February 17th, 2014 by posted in Announcements.

The Ludwig Mises of Canada strives to continually expand both the breadth of our mission and the reach of our organization. We pride ourselves on being an informed and active part of the greater discourse. This is achieved by welcoming

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My letter to Nat’l Review Magazine re: Mr. Beckworth’s wrong prescription for monetary stability

Sunday, February 16th, 2014 by posted in Capitalism, Economics, Politics.

Re: David Beckworth’s review of Money, Gold, and History by Lewis E. Lehrman   Dear Sirs: Austrian School economists recommend monetary freedom, not any specific state-supported money.  End legal tender laws and the most marketable commodities will be chosen as mediums

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Outlawing “Bankruptcy” in Europe

Sunday, February 16th, 2014 by posted in Banking, Education, Events, Politics, Politique, Regulation.

The European Union (EU) is currently discussing banning “bankruptcy.” Not the actual financial act, but the word. Apparently there is a stigma attached to going bankrupt. It leaves people thinking that perhaps you are not credit worthy and that they

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Yet More Clarification on ObamaCare Work Distortions

Sunday, February 16th, 2014 by posted in Economics, Health Care.

After publishing my recent post discussing how the proponents of the Affordable Care Act (ACA or “ObamaCare”) were making a distinction without a (significant) difference on the terms “substitution effect” versus “income effect,” I saw that Scott Sumner over at

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The real cause of sub prime lending

Saturday, February 15th, 2014 by posted in Banking, Capitalism, Economics.

Re: Wells returns to sub prime lending The author blames the banks, as if for some unknown reason bankers simply choose to expand lending to sub prime borrowers.  But the real source is the Fed’s artificial lowering of the interest

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“Income vs. Substitution Effects” Not the Issue With ObamaCare

Saturday, February 15th, 2014 by posted in Economics, Health Care.

With the Congressional Budget Office’s (CBO’s) recent announcement that the Affordable Care Act (aka “ObamaCare”) will lead to a long-term reduction of employment of (the equivalent of) 2.5 million full-time jobs, the economics pundits are arguing over the significance of

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Free Speech and the Police

Friday, February 14th, 2014 by posted in Civil Liberties, Law.

The traffic cop stands alone as one of the most unpleasant and unnecessary forms of law enforcement. Under the halfhearted guise of protecting public safety – a pretense that no one really buys into – these government agents spend most

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What’s the Big Deal with High-Frequency Trading?

Thursday, February 13th, 2014 by posted in Banking, Capitalism, Economics.

One of the fundamental laws of economics is that prices display information. When goods and services are sold, the price reflects the intersection of supply and demand. As Ludwig von Mises showed in his groundbreaking article “Economic Calculation in the

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First step in raiding Europe’s private savings

Thursday, February 13th, 2014 by posted in Capitalism, Civil Liberties, Economics, Law, Politics.

From today’s Open Europe news summary: According to a leaked document, seen by Reuters, the European Commission is probing ways to unlock the investment potential of EU citizens’ savings to boost the economy. The Commission will also ask the European

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Just one example why printing money is irresistible

Thursday, February 13th, 2014 by posted in Capitalism, Economics, Politics.

From today’s Air Force Magazine online: Congress Restores COLA Increases   The Senate voted 95-3 on Wednesday to restore full cost-of-living pension increases for working-age military retirees. The vote comes one day after the House approved the measure with a

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Keynesian Policies: Not Dumb, Just Foolish

Thursday, February 13th, 2014 by posted in Economics.

A lot of my Austrian friends refer to Keynesian policies as “idiotic,” “stupid,” etc., but that’s not really accurate. Indeed, the Keynesian policy prescriptions are so counterintuitive–they so defy common sense–that only very intelligent people with plenty of schooling could

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The Limits of Stock Chart Reading

Tuesday, February 11th, 2014 by posted in Economics.

Any time people are compelled to decipher the future, strange methods and theories are sure to abound. The stock market has long been a haven of such folly.  Among the diviners in that arena, there are believers in the notion

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Tiff Macklem & Deflation

Tuesday, February 11th, 2014 by posted in Banking, Economics.

Bank of Canada Deputy Governor John Murray isn’t the only BoC official to jump ship. After former Governor Mark Carney went off to England, it didn’t take long for Senior Deputy Governor Tiff Macklem to announce his resignation as well.

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