Monday, May 27, 2019

F.A. Hayek on Game Theory

Friedrich Hayek 
The Nobel Prize-winning Austrian school economist Friedrich Hayek on game theory:
I don't want to be unkind to my old friend, the late Oskar Morgenstern, but while I think his book is a great mathematical achievement, the first chapter which deals with economics is just wrong. I don't think that game theory has really made an important contribution to economics, but it's a very interesting mathematical discipline.
From  Hayek on Hayek: An Autobiographical Dialogue.

RW note: I'm with Hayek on this.

Sunday, May 26, 2019

ANALYST: Trump's China Tariffs Could Trigger 12,000 Store Closures

Higher tariffs on Chinese goods could force 12,000 stores to close within a year and put more than $40 billion of sales at risk, the UBS analyst Jay Sole writes in a research note, reports Business Insider.

"The market is not realizing how much brick-and-mortar retail is incrementally struggling and how new 25% tariffs could force widespread store closures," Sole wrote.

Murray Rothbard on the Truth about the Origins of the Progressive Movement



Saturday, May 25, 2019

Democratic Socialism Is the Scenic Route to Serfdom


What Really Caused the Gasoline Shortages During the Age of Disco?

Here’s a Don Boudreaux letter to the Wall Street Journal:

BEYOND THE TEARS OF MAY: Now That Theresa May Has Announced Her Resignation, What Comes Next for Brexit?

Theresa May
[Note: After this article was written, Theresa May officially announced she is leaving the position of Prime Minister on June 7th.]

By Alasdair Macleod

Brexit has been a long, drawn-out saga. But finally, Theresa May’s indecision appears to be coming to an end. She has finally been cornered in a tragic opera with more twists and turns than Wagner’s Ring Cycle. May’s Götterdämmerung is reaching its conclusion. Brünnhilde is riding Grane, her trusty steed, into immolation on the funeral pyre of her heavily-amended withdrawal agreement.

Friday, May 24, 2019

Houses Are Being Sold On Amazon for Less Than $20,000 — with Free Shipping

The 292-square-foot Lillevilla Allwood Getaway Cabin
I love free market ingenuity!

She's Getting More Dangerous

Alexandria Ocasio-Cortez is getting much better at delivering economic idiotic speeches that rally the masses.

Almost everything she says in the below speech goes against the fundamentals of economics or is based on scientific claims that distort rather than cl;arify, yet the audience cheers.

Thank You, Federal Reserve: Google to Buy New York building for 100 Times 1996 Price

Google has agreed to pay $600 million to acquire a historic building in Manhattan’s Meatpacking District — a hundred times what it was sold for in 1996, reports the Financial Times.

Doug Harmon, one of the agents who brokered the sale, also sold the building (located 450 West 15th Street — also known as the Milk Building ), in 1996, for $6 million to Moishe Mana, an Israeli immigrant who grew wealthy after founding a local moving company, Moishe’s Moving, and his partner, Erez Shternlicht.

Thursday, May 23, 2019

TRADE WAR ESCALATION:Trump Planning More Restrictions on Tech Exports to China

By Robert Wenzel

The Trump administration is taking steps toward issuing even more restrictions on exports of high-tech goods to China, reports Politico.

A point I have made in the EPJ Daily Alert, the trade war between the United States and China has seriously escalated. We are now well beyond a tit-for-tat tariff war.

A Gun That Shoots Salt at Flies: $27 Million In Guns Sold!

This is awesome.

I love free market creativity.


The Queen of England Wonders If There is a Flaw in Self-Service Supermarket Check-Out

'You can't cheat?' asked the Queen.

There you go, the Queen has a true central planners mentality always thinking first and foremost about keeping the royal subjects under the thumb.


HUD Secretary Ben Carson Accuses Left of Using Saul Alinsky Tactics Against Him

Ben Carson
During a congressional hearing on Tuesday, Housing and Urban Development Secretary Ben Carson mistook Democratic Rep. Katie Porter of California as saying "Oreo" when she used the housing sector acronym "REO" (real-estate owned rates) in questioning.

"Do you know what an REO is?" Porter asked Carson.

"An Oreo?" Carson said.

Has China Started Weaponizing Its US Treasuries Holdings?

The Financial Times reports:
It was an unnerving piece of data for investors last week, buried halfway down an esoteric spreadsheet released by the US government that tracks how many Treasuries foreign investors buy and sell.

Wednesday, May 22, 2019

Mnuchin Says Tubman $20 Bill Release Delayed; Why She Should Go On a Reintroduced $1,000 Bill

By Robert Wenzel

Treasury Secretary Steven Mnuchin on Wednesday said the introduction of a $20 bill featuring Civil War-era abolitionist Harriet Tubman has been delayed until 2028.

Why Workers Without College Degrees Are Fleeing Big Cities

Here is some interesting data via The New York Times on demographic flows:
Last month the Census Bureau confirmed a confounding dynamic taking hold across the American landscape: Superstar cities, the nation’s economic powerhouses, hotbeds of opportunity at the cutting edge of technological progress, are losing people to other parts of the country.

Fed Chairman: Business Debt is at Record Highs, But It Is Different This Time

On Monday, Federal Reserve Board Chairman Jerome Powell spoke at the "Mapping the Financial Frontier: What Does the Next Decade Hold?” 24th Annual Financial Markets Conference, sponsored by the Federal Reserve Bank of Atlanta and held in Amelia Island, Florida.

During the speech, he acknowledged the sizable debt held by businesses:

Tuesday, May 21, 2019

Trade War Retaliation: China Bans American Actors

Li Jin reports:
Just heard from an American actor friend who played Edgar Snow in a Chinese TV series.

China has banned American actors and key production people from all TV shows and films. Just like that.

China Trade War Song Goes Viral:"We Will Beat America Out Of Its Wits"

A song titled "Trade War," (video below) has gone viral on one the largest Chinese social media platforms, WeChat, generating more than 100,000 views amid a deepening trade war between the US and China. The song begins with a chorus singing "Trade war! Trade war! Not afraid of the outrageous challenge! Not afraid of the outrageous challenge! A trade war is happening over the Pacific Ocean!" reports Bloomberg.