Jeffrey Sachs warns of the danger of too much stimulus:
The U.S. political-economic system gives evidence of a phenomenon known as “instrument instability.” Policy makers at the Federal Reserve and the White House are attempting to use highly imperfect monetary and fiscal policies to stabilize the national economy. The result, however, has been ever-more desperate swings […]
Archive for February, 2009
Feb25th2009
Feb24th2009
Will Wilkinson, interviews two leading Marcoeconomists on the recently passed Stimulus bill:
I talked to Prescott just hours before Obama set the presidential pen to the stimulus bill. “There is an old, discarded theory that’s been tried and failed spectacularly, which is where that language of stimulus comes from.” The stimulus bill, Prescott told me, “is […]
Feb23rd2009
“The American health-care system may be a crazy mess, but it is the prime mover in the global ecology of medical treatment, creating the world’s biggest market for new drugs and devices. Even as we argue about whether or how our health-care system should change, most Americans take for granted our access to the best […]
Feb20th2009
For those who want to get a deeper understanding of the financial markets, Yale University provides Yale economics professor Robert Shiller’s (one of the leading authorities on financial markets) course for free, as part of its Open Course list.
The video for the courses along with syllabus and homework material can be found here.
Feb19th2009
“The simple truth is that so far economic policy has fallen short of being good. Some (not all) left-wing bloggers may be reluctant to say this so early in the tenure of such a long-awaited administration, but perhaps a few of them are thinking it. There is the stimulus, the Geithner banking plan, and the […]
Feb18th2009
Quote Of The Day
Published by in (modern day) Liberalism, Economics, ModernPolitics and Taxes. 0 Comments“Mark Thoma makes fun of Judd Gregg for thinking that tax cuts pay for themselves. Mark is right to make fun. What a ridiculous thing to believe. All the good economists know that it is spending increases that more than pay for themselves. ” –Alex Tabarrok
Feb17th2009
You need to a flashplayer enabled browser to view this YouTube video
Tim Kane has more here.
Feb16th2009
Though I agree that there was alot the Bush administration missed, I don’t agree that it was all Bush’s fault and Democrats deserve less blame. Here is a chronology, brought up before the financial crisis, of Bush’s warnings and calls for regulations and Democrats adamant refusal to do so.
You need to a flashplayer enabled browser […]
Feb13th2009
Here is a good primer I came across that answers that question and shows just how fundamental the financial markets are to todays companies. Go here.
Feb12th2009
Anti-Immigration Surfaces
Published by in Hispanics (Minority Issues), Immigration and ModernPolitics. 1 CommentFirst it was “buy American only”, now its this:
While I think President Obama has been doing his best to keep the worst protectionist impulses in Congress out of his stimulus plan, the U.S. Senate unfortunately voted on Feb. 6 to restrict banks and other financial institutions that receive taxpayer bailout money from hiring high-skilled immigrants […]
Feb11th2009
“Another cause of long-term unemployment is unionization. High union wages that exceed the competitive market rate are likely to cause job losses in the unionized sector of the economy. Also, those who lose high-wage union jobs are often reluctant to accept alternative low-wage employment. Between 1970 and 1985, for example, a state with a 20 […]
Feb10th2009
“President Obama has issued an executive order that permits federal agencies to require union labor for work on federal contracts. This is good news for union workers, bad news for non-union workers, and bad news for taxpayers, who will pay more for what the government buys on their behalf. In my judgment, it is bad […]
Feb9th2009
Economist Arnold Kling explains:
Why is the stimulus bill so filled with non-stimulus while it omits real stimulus measures, such as cutting payroll taxes?
I think the answer is that it is a reparations bill, not a stimulus bill. People who pay income taxes tend to vote Republican. People who live off taxes tend to vote Democratic. […]
Feb6th2009
“This is probably the worst bill that has been put forward since the 1930s. I don’t know what to say. I mean it’s wasting a tremendous amount of money. It has some simplistic theory that I don’t think will work, so I don’t think the expenditure stuff is going to have the intended effect. I […]
Feb6th2009
Nancy Pelosi says that if we don’t pass the stimulus package soon - as opposed to taking some time to remove the pork - 500 million Americans will lose their job!
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Now that’s what I call an emergency!
Feb5th2009
“Milwaukee Public Schools would reap $88.6 million over two years for new construction under the economic stimulus package just passed by the U.S. House of Representatives - even though the district has 15 vacant school buildings, a large surplus of property and no plans for new construction….The amounts for MPS are particularly eye-catching, and not […]
