Saturday, December 15, 2018

Theodore Dalrymple at the Oxford Union: Socialism Does NOT Work

Theodore Dalrymple, a senior fellow at the Manhattan Institute and a contributing editor of City Journal, absolutely smashes socialism in the clip below, from a debate that took place at the Oxford Union.

HEROIC Federal Judge in Texas Strikes Down Obamacare

Federal Judge Reed O'Connor
A federal judge in Texas said on Friday that the Affordable Care Act's individual coverage mandate is unconstitutional and that the rest of the law therefore cannot stand, reports CNN.

In his opinion, District Judge Reed O'Connor said the "Individual Mandate can no longer be fairly read as an exercise of Congress's Tax Power and is still impermissible under the Interstate Commerce Clause—meaning the Individual Mandate is unconstitutional."

He also held that the individual mandate is "essential to and inseverable from the remainder of the ACA." In other words, this judge really understands Obamacare and the horror of the evil individual mandate as the foundation of Obama's scam.

But don't for a minute think this will end Obamacare. There will be appeals and President Trump, via Tweet has already signaled he wants the government to remain in the healthcare business:
Here is my take on the real problem with Obamacare, or any government healthcare for that matter, including anything Trump might come up with in cahoots with "Mitch and Nancy":


DSA Issues Video Explaining How Capitalism "Suppresses the Queer Impulse"

The Democratic Socialists of America's DSA queer socialist wing has put out a video (below) explaining how capitalism "suppresses the queer impulse." I really think they are serious.

You see, capitalists require heterosexuality to create more workers, according to them. There is nothing about evolution (or God) being the primary driver of the heterosexual impulse as a method to continue the existence of the species.

Friday, December 14, 2018

Piketty Urges Higher Taxes in Response to French Tax Revolt; Issues Manifesto

Thomas Piketty
By Daniel J. Mitchell

Less than 10 years ago, many European nations suffered fiscal crises because of a combination of excessive spendingpunitive taxes, and crippling debt.
The crises have since abated, largely because of direct and indirect bailouts. But the underlying policy mistakes haven’t been fixed.
Indeed, the burden of government spending has increased in Europe and debt levels today are much higher than they were when the previous crisis began.

Inside The Paul Volcker Memoir

Paul Volcker
By Robert Wenzel

I consider the recently published Paul Volcker memoir, Keeping At It: The Quest for Sound Money and Good Government, must reading for market traders and active investors.

It provides remarkable insight into how government officials think and react during financial and economic crises. Understanding that will be valuable in future crises. It does not appear Volcker holds back.

He tells us, for example, of the time Nixon administration Treasury Secretary John Connally attended an important international banking conference in Munich, Germany.

There Goes Laissez-Faire: Trump Lashes Out at General Motors

President Donald Trump said Thursday that General Motors CEO Mary Barra made a "big mistake" by laying off thousands of workers and pledged to retaliate against the company.

He did not specify how he planned to retaliate. It should be noted, however, and it is embarrassing that it has to be noted, there is nothing about free-market policy that says you retaliate against firms who close plants that are too costly to run. Trump understands free market theory about as well as Alexandria Ocasio-Cortez.

Thursday, December 13, 2018

Ghosting: It is the New Millennial Thing and the Term Makes Its Way Into the Fed Beige Book

The Federal Reserve Board "Beige Book," more formally known as the Summary of Commentary on Current Economic Conditions by Federal Reserve District, is published eight times per year.

Each Federal Reserve Bank gathers anecdotal information on current economic conditions in its District through reports from Bank and Branch directors and interviews with key business contacts, economists, market experts, and other sources. The Beige Book summarizes this information by District and sector. An overall summary of the twelve district reports is prepared by a 
designated Federal Reserve Bank on a rotating basis.

The latest Beige Book reported on ghosting activity:

The Presumptions and Hubris of Social Engineers Never Seem to Cease: The Case of Joe Stiglitz Planning Your Life and Measuring Your Happiness

Richard Ebeling emails:

Dear Bob, 

I have a new article on the website of the American Institute for Economic Research (AIER) on, “Beyond GDP to a New Road to Serfdom.” 

The presumptions and the hubris of the social engineers never seem to cease. A recent one is Nobel economist, Joseph E. Stiglitz, and his desire to go “Beyond GDP” to have a wider and more comprehensive set of statistical indicators and measurements to more effectively and extensively regulate, redistribute and plan the lives of everyone on the planet. Clearly, a “modest” proposal. 

Got a Housing Crisis? Start a New Bureaucratic Agency with Taxing Authority

Since 2010, the San Francisco Bay Area has added 722,000 jobs but only106,000 housing units.

Bay Area mayors, other government officials and assorted cronies have come up with the ultimate in an absurd plan to "fix" the problem.

Did President Trump Make A Rookie Mistake With the Economy?

The New York Post senior economics writer, John Crudele, states in a new column:
It seems that Donald Trump has made a rookie mistake on the economy.

While US presidents don’t always have control over business cycles, there is one hard and fast rule: Don’t stimulate the economy too early, because economic growth is likely to fade right at the time you are seeking re-election.

“Late Capitalism” May Be Earlier Than You Think

By Walter Olson

“Late Capitalism,” with its implication of a system due to come to an end, is such an irritatingly pretentious trope. Noah Rothman at Commentary traces some of its recent appearances in complaints that “range from lamentations over long work weeks and the commodification of blood donations to violent fantasies about the prospect of an inter-class shooting war in America,” those examples being taken from Vice News alone. Last year Annie Lowrey traced the lefty roots of the phrase (Werner Sombart and Frankfurt School via Frederic Jameson) and noted that “late capitalism” has become a popular wording in places like The New Yorker and The Atlantic, the outlet in which she was writing. 

Wednesday, December 12, 2018

22 Days in Paul Krugman's Masterclass (Day 22) (The End)

V.I. Lenin
This is it, Paul Krugman's final Masterclass lesson and boy does he want to get out of class quickly.

Lesson 22 is all of 3 minutes and 21 seconds long.

Hoover Institution: Why California Home Prices Will Soon Fall

By  Lee Ohanian

The median price of a single-family home in California has increased to about $546,000. This is a record high, and is more than 80 percent above the 2012 median of $300,000. California home prices are likely peaking now, and I expect that they will decline soon. The simple analytics of the California housing market is that not nearly enough California households have sufficient income to support the cost of home ownership at current price levels and with current lending standards.

The first signs of a weakening housing market are already occurring.

Trump vs. The Federal Reserve Board: Will Interest Rates Be Raised Next Week?

President Donald Trump
President Donald Trump is in the face of the Federal Reserve Board, again.

During an interview with Reuters on Tuesday, Trump said it would be a mistake if the Fed raises interest rates when it meets next week.

Will Trump be able to intimidate the Fed into not hiking rates next week?

Tuesday, December 11, 2018

22 Days in Paul Krugman's Masterclass (Day 21) (How to Write About Economics for the Intelligent Masses)

Lesson 21 in Paul Krugman's Masterclass is 9 minutes and 53 seconds long.

In this lesson, Krugman provides thoughts on how someone should write economics for the layman---but there is a Krugmanite diabolical twist even in this teaching of basic writing of economics.

Trump Signals Progress On Trade Talks With China

President Donald Trump
For whatever it is worth, President Trump has sent out a tweet signaling progress in trade talks with China and that important announcements are coming.

What Kind of Power Will Alexandria Ocasio-Cortez Have in Congress?

Alexandria Ocasio-Cortez
Will  House Speaker-designate Nancy Pelosi, who will ultimately decide committee assignments for the coming session, give socialist Alexandria Ocasio-Cortez a seat on the powerful House Ways and Means committee?

That's what AOC wants but the committee is usually made up of seasoned House members.

Macron Increases the Minimum Wage: The Dumbest French Leadership Move Since Waterloo

Emmanuel Macron
French president Emmanuel Macron addressed the nation from the presidential Elysee Palace on Monday in a recorded TV speech and announced new economic measures in a desperate attempt to quell four weeks of violent protests across the country.

He announced that he would increase the minimum wage by 100 euros per month to take effect at the start of 2019. He also said that a tax hike for the poorest pensioners will be canceled at the start of the next year.