IMF Says China’s Currency No Longer Undervalued The International Monetary Fund announced on Tuesday that for the first time in over a decade China’s currency is no longer undervalued (SCMP). U.S. policymakers have long criticized China’s artificial weakening of the renminbi,
Methodology 
Noahgreement on similarities between Austrians and New Classicals
I’ve got a confession to make: my favourite economics blog name is Noah Smith’s “Noahpinion”. It’s a really great blog name. With the niceties out of the way, let’s address Smith’s latest screed: “How the New Classicals drank the Austrians’
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The Ultimate Microfoundation: Human Action
Much fuss is made in macroeconomic circles over so-called “microfoundations”: microeconomic justifications for macroeconomic models, as opposed to macro models that make ad hoc assumptions about utility, preferences, and price setting. People like to bring up the “Calvo pricing model”,
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Keynesians Wrong on Sequester Just Like Stimulus
It is well known that the Christina Romer / Jared Bernstein report, issued in January 2009 when Obama first came into office, got things exactly backwards. At the time, unemployment in the U.S. was 7 percent and change. Romer, who
Subjective Value and Objective Good
Value is subjective. This is one of the cornerstones of modern economics. What’s known as the “marginal revolution” of the late 19th century was responsible for bringing the axiom from intellectual musing to orthodox dogma. Three economists - Leon Walras,
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The Use of Knowledge at the Bank of Canada
The Bank of Canada’s latest quarterly review suffers from the fatal conceit. Although technically the whole central banking system is a fatal conceit, one of the articles particularly highlights the complete ignorance and arrogance of Canada’s central bankers. Nii Ayi
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Poloz’s First BoC Interest Rate Statement
Bank of Canada Governor Stephen Poloz said that interest rates will remain low and the economy will grow due to “accommodative financial conditions.” His logic goes: The US economy is recovering ergo Canadian exports will grow therefore solid Canadian business
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Econ 101 with Stephen Poloz
On June 19th, Stephen Poloz gave his first major speech as Governor of the Bank of Canada. Reading through it, it’s clear that Poloz – like his predecessor – has no real understanding of economics. So I’ve decided to pick
Cannot Wipe Even Your Own A** but Will Run the Country
For the last few days, story of one Komal Ganatra has been making headlines in India. Her dad, now retired, earned his living as a school teacher in India. Five years back, she was married off to an Indian immigrant
What’s So Special About Economics?
Unlike what is commonly believed, economics is not about money, or profit, or investments, or capitalism, or wages, or unemployment or stocks and bonds or about any other buzzword you may have heard or read in the media. Yes, economics does study
An Austrian Indifference Curve vs. The Value Scale
From the introductory undergraduate to the advanced Ph.D. courses in economics, students are taught that the concept of the indifference curve is very useful in analyzing human choice. I am emphasizing the term useful for a reason. No one ever
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Liberty Is A State of Being
Sadhguru Vasudev cautions those that want to change the world to first rid their own hearts of fear and pain, before embarking to change the way others live — otherwise one will only transcribe one’s own darkness upon the world
The Incoherence of “National Interest”
Following politics where I live is like riding a rollercoaster ad nauseam. If you’re from Balkans too or have ever heard the rhetoric of a Balkan politician, you could have not possibly escaped the use of the word “national interest.â€
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Austrian AV Club - Stephan Kinsella
Redmond is the director of the Ludwig von Mises Institute of Canada.
Human Ignorance and Social Engineering
Spontaneous order and the inadequacy of human knowledge. Throughout most of intellectual history, society has been considered to be the result of someone’s design. In his multi-volume Law, Legislation, and Liberty, the social theorist F. A. Hayek referred to this position as “constructivist rationalismâ€
San Fran Fed Finds Problem with Econometric Multipliers
Despite the obvious bias which engulfs the incestual working relationship between the Federal Reserve System, the U.S. financial sector, and the U.S. government, occasionally some grains of truth trickle out from these Ministries of Truth. In a new report by
The Mantle of Science
[Originally published in Scientism and Values, Helmut Schoeck and James W. Wiggins, eds. (Princeton, N.J.: D. Van Nostrand), 1960, pp.159-180; The Logic of Action One: Method, Money, and the Austrian School (Cheltenham UK: Edward Elgar, 1997), pp. 3-23. Also available
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Some Advantages of Austrian Economics in the Defence of Markets
What are the potential benefits in being familiar with Austrian economics? This is the question that I hope to at least partially answer here. I study economics at the Department of Food, Agricultural and Resource Economics at the University of
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Myth Busting in Kosovo
Kosovo is Europe’s newest country after declaring independence from Serbia in 2008. It is at the same time Europe’s poorest country—with unemployment approaching a staggering 49% and around 30% of the population living below the “poverty line.†However, as bad
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