Trump Calls on Fed to Cut Rates by a Full 1%

The inflationist-in-chief has spoken (again).

The Federal Reserve Board's monetary policy group, the Federal Open Market Committee, is meeting today and tomorrow. It has a sever inflationist bent, but not enough for combover man.

Billionaire Icahn Rips MMT, Warns It Could Lead to an ‘Inflationary Spiral’

Billionaire Carl Icahn says inflation could revive and spin out of control if policy makers were to embrace modern monetary theory, reports Bloomberg.

Trump Agrees to $2 Trillion in Infrastructure Spending!

There goes the already out of control US budget.

The meeting at the White House between President Trump, House Speaker Nancy Pelosi and Senate Minority Leader Chuck Schumer is over.

Here are the first reports on the meeting:

White House Chief-of-Staff Announces He is Suffering From Kidney Stones, Then Attacks Paul Krugman

Mick Mulvaney

White House Chief-of-Staff Mick Mulvaney participated in a Q&A session with Maria Bartiromo Tuesday at the Milken Global Conference in Beverly Hills.

Kudlow Speaks Truth: Trump Will Not Pay Down the Debt During His Presidency

White House chief economic adviser Larry Kudlow told reporters Monday that President Trump is unlikely to pay off any of the national debt, currently at $22 trillion, according to The Washington Examiner.

Trump's Potential Fed Nominee Throws Gold Standard Under the Bus

Stephen Moore

Fake free market Stephen Moore sat down with The Wall Street Journal’s Paul Kiernan for an interview.

Once, when he wasn't seeking to get nominated as a governor of the Federal Reserve Board, he had positive things to say about gold and the gold standard. Not any more.

This is what he told Kiernan:

Biden Calls for $15 Minimum Wage

Former Vice President Joe Biden went hardcore government interventionist today in his first 2020 presidential campaign speech.

He endorsed a $15-an-hour federal minimum wage and an option for anyone to buy into Medicare.

Chuck Grassley Confronts Trump

Chuck Grassley

In an op-ed today in The Wall Street Journal, Chuck Grassley, an Iowa Republican, who is the U.S. Senate’s president pro tempore and chairman of the Finance Committee, wrote:

Trump Wants to Spend $2 Trillion on Infrastructure

Quick, can someone put in front of President Trump, Walter Block's book, Privatization Of Roads And Highways: Human And Economic Factors? 

Or better yet, a short slide show version.

Will Trump Blow Up North American Trade to Beat the Democrats?

President Trump’s push to revamp North America’s trade rules ( USMCA ) is hitting a roadblock in Washington as Democrats and labor groups demand changes, reports The Wall Street Journal.

New Attack on Stephen Moore; Says He’s Willing to Withdraw Nomination to Fed Board

Stephen Moore

Stephen Moore, President Trump’s  nominee for the Federal Reserve Board, said Friday that Republicans should not “walk the plank for me.”

Noam Chomsky Attacks Anarcho-Capitalism

The below video contains completely bizarre comments by Noam Chomsky.




Chomsky is clearly unfamiliar with libertarian (anarcho-capitalist) literature.

New York Times Op-Ed: Can We Please Relax About ‘Socialism’?

The New York Times is running an op-ed today, headlined, Can We Please Relax About ‘Socialism’?, where David Bentley Hart, an affiliated scholar of the Notre Dame Institute for Advanced Study, writes:

How Much Would Alexandria Ocasio-Cortez's Tax Proposal Raise?

Go ahead, think of a percentage before you learn in the below video.



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The Problems with Socialism

With socialism trending in America, it makes sense to once again feature this short clip where Murray Rothbard explains how Ludwig von Mises refuted the idea that socialism could be a success.



This is Mises' important book on socialism:



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The EU Will Kill the 500-Euro Note Today

Friday marks a sad day for the more cash-loving residents of the euro area as central banks stop handing out 500-euro notes, reports Bloomberg.

Trade Deal With China Coming?

President Trump said on Thursday that China’s president, Xi Jinping, would be coming soon to the White House, reports The New York Times.

It is an indication that a trade deal between the United States and China may be close.

Trump's Top Economic Adviser: Fed May Lower Rates

President Trump and Larry Kudlow

Is this more pressure on Federal Reserve Board Chairman Jay Powell from the Trump Administration via jawboning?

National Economic Council director Larry Kudlow told Newsmax TV that Fed might be considering cutting interest rates further.

Thank You Fed, Thank You MBS: Typical Worker’s Pay Nears $200,000 at Oil Refiner

With Federal Reserve money spigots pretty much on full open and Saudi Arabia Crown Prince Mohammed bin Salaman (MBS) is seeing to it that the Kingdom and OPEC+ are cutting back the oil they supply to the markets (Not to mention the Trump Administration sanctions on Iranian oil), the price of oil is soaring again.

Since the first of the year, it is up more than 38% (see chart above).

This means boom times for oil workers.

One of the Best Reasons for Becoming as Wealthy as Possible

How long will
 George Soros live?

Doug Casey says:

The science behind life extension has advanced a lot since then however. Just like artificial intelligence (AI), robotics, and nanotech, it’s advancing at the rate of Moore’s Law.

Central Banking is Central Planning

Richard Ebeling emails:

Dear Bob,

I have a new article on the website of the American Institute for Economic Research (AIER) on, “Central Banking is Central Planning”.

A Thigh-Slapper From the State Department

Just days ago, Secretary of State Mike Pompeo announced that the President would not renew any waivers allowing certain countries to purchase Iranian oil.

We want to "drive Iranian oil sales to zero" he said.

On Tyler Cowen's Love Letter to Big Business

By Robert Wenzel

I am not usually a fan of Tyler Cowen's writing.

He often positions himself too close to mainstream interventionist economics, even Keynesian economics, for my taste.

Trump Unloads on Krugman

 Paul Krugman.

In a tweet, President Trump has blasted Paul Krugman.

"Paul Krugman, of the Fake News New York Times, has lost all credibility, as has the Times itself, with his false and highly inaccurate writings on me," Trump wrote. "He is obsessed with hatred, just as others are obsessed with how stupid he is. He said Market would crash, Only Record Highs!"

Trump is the True Blue Champion Of...

A Don Boudreaux letter to The Wall Street Journal:

Editor:

You are correct to bemoan the Trump

Social Security Costs to Exceed Income in 2020

And it begins.

Joseph Stiglitz Goes on CNBC to Promote Early Stage Socialism

This is just a disgusting performance from a crony economist.

Notice in the video below that when "Closing Bell" host Sara Eisen pushes him to explain how he would pay for a public option in healthcare he changes the subject.

He also makes the outrageous claim in the clip that the near-bankrupt Social Security program is a good place to invest funds.

BREAKING: Trump Won't Nominate Herman Cain for Fed

This is a developing story. Return to this post for updates.

UPDATE 1

NYC Mayor de Blasio Goes Full Idiot: ‘We Are Going to Ban’ Glass and Steel Skyscrapers

New York Mayor Bill de Blasio

New York Mayor Bill de Blasio said on MSNBC Monday morning his city will ban “inefficient” steel and glass skyscrapers as part of their Green New Deal.

Trump Expands Sanctions on Iranian Oil

UPDATE BELOW: Iran threatens to close the Strait of Hormuz

So much for peace through trade.

The Trump administration will stop allowing countries with waivers to import Iranian crude oil.

Trump granted waivers to several countries in November when he first restored energy sanctions on Iran.

Would Returning to Gold Standard Benefit the Middle Class?

Of course!

Judy Shelton writes in The Wall Street Journal:

Fed Gov. Lael Brainard, who was appointed by President Obama, told Bloomberg Television last week that new Trump administration nominees will be expected to put forward “fact-based, intellectually coherent arguments that are based on evidence, that are consistent over time” to participate meaningfully in the Fed’s deliberations.

Climate Change: The Maldives Mystery and Revealed Preferences

This is good, really good.



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The Wonderful Loopholes of New York City Luxury Apartment Construction

The great economist Ludwig von Mises was a big fan of loopholes that countered intrusive government regulations.

The S&P Index At 2900: The Biggest Wall Street/Fed Whopper Ever Told, Part 2

By David Stockman.

This bears repeating: During the 80 months between Q1 2012 and Q4 2018 the S&P index rose by 125%, but pre-tax corporate profits of $2.2 trillion (annual rate) did not rise by single dime.

And it is the yawning gap between these two figures which dramatically underscores why main street America has flat-lined, even as Wall Street and the financial media have lost their minds in giddy flights of speculative euphoria.

Former Mad Money Printing Central Banker May Become Zimbabwe's Next President

Gideon Gono'

"The latest information as it stands now is that the leadership is reaching a compromise candidate that is seemingly acceptable to all and who is sellable to the international community. We have learnt that Former (Reserve Bank of Zimbabwe) Governor Gideon Gono's name has been touted as one of the people that might be given the task to take over the reins of power," reported Bulawayo 24, quoting an unnamed senior Zanu-PF official.

I once reported on Gono's memoir, Zimababwe's Casino Economy:

 It is meeting my expectations...He has an undergraduate correspondence degree from Rapid Results College...

Gono informs in the book, that toward the end of his reign as head of the central bank, inflation hit 231 million percent annually. He writes:

BE CAREFUL: The New Way Socialists Are Going to Hide Who They Are

Joseph Stiglitz

By Robert Wenzel

A new Joseph Stiglitz book will be out next week, People, Power and Profits: Progressive Capitalism for an Age of Discontent.

Stiglitz, a chairman of the Council of Economic Advisers under President Bill Clinton and a former chief economist of the World Bank, told Andrew Ross Sorkin for The New York Times:

The S&P Index At 2900: The Biggest Wall Street/Fed Whopper Ever Told, Part 1

David Stockman

By David Stockman

Once upon a time, the stock market reflected the state of the main street economy and the level of business profits. In the present age of Keynesian central banking, not so much.

Stockman: Herman Cain is as Stupid as Bernanke

Herman Cain

 In response to the post, Herman Cain Plans to Take the Senate On, David Stockman emails:

"I was on the executive committee of the Socialist Party"

 'Democratic socialists' Sanders, Ocasio-Cortez, and Tlaib prefer socialism to democracy

By Joshua Muravchik

First Bernie Sanders and now also Alexandria Ocasio-Cortez, Rashida Tlaib and a bunch of other new office-holders proclaim themselves “democratic socialists.” What is that? I should know. I was on the executive committee of the Socialist Party and I was the leader of its youth wing, the Young People’s Socialist League. The Party was the forerunner of the group Ocasio-Cortez and Tlaib belong to today, and the YPSL was the organization Bernie Sanders joined as a college student.

Thank You, Federal Reserve: New York City Rents Hit All-Time High

Rental prices for apartments in Manhattan, Brooklyn and Queens hit an all-time high in the first quarter, according to StreetEasy.

The FBI File on Milton Friedman, Part 3: Reagan Considers Him for a Position

Milton Friedman

In conjunction with the Freedom Of Information Act specialist Jerry Jordan, EconomicPolicyJournal.com requested the FBI file on Nobel prize-winning economist  Milton Friedman.  In total, the FBI supplied 239 pages of records.

Below is Part 3 and final part of the file. Part 3 largely consists of field reports of a 1981 background check done on Friedman apparently for some potential position in the then new Reagan Administration.

The FBI File on Milton Friedman, Part 2: Hayek Invites Friedman to Join the Mont Pelerin Society

Milton Friedman and F.A. Hayek

In conjunction with Freedom Of Information Act specialist Jerry Jordan, EconomicPolicyJournal.com requested the FBI file on Nobel prize-winning economist  Milton Friedman.  In total, the FBI supplied 239 pages of records.

Below is Part 2 of the file which is a letter from F.A. Hayek inviting Friedman to the first meeting of what would become the Mont Pelerin Society:

The FBI File on Milton Friedman: Part 1

In conjunction with the Freedom Of Information Act specialist Jerry Jordan, EconomicPolicyJournal.com requested the FBI file on Nobel prize-winning economist  Milton Friedman.  In total, the FBI supplied 239 pages of records.

Below is Part 1 which mostly contains FBI reports of interviews of Friedman's neighbors, co-workers etc, who describe him as a man of good character. But also contains an apparent investigation by the FBI into a report that Friedman claimed to have FBI papers in his possession.

Krugman Needs a Lesson on Why Truckers Are Paid Less Now than in the 1970s

Paul Krugman

By William L. Anderson

One of the first lessons I give my economics students in the principles courses I teach or in my MBA classes is the famous Diamond-Water Paradox, or what economists historically have called the Paradox of Value. Why are diamonds more expensive than water? Why are professional athletes paid better than teachers or soldiers?

On the Government Measuring of Price Inflation and the Downsizing of Product Size

Peter T. emails:

Do you know if any work has been done on the silent inflation that occurs when manufacturers downsize the quantity of a product? I believe this is a significant factor not accounted for in official inflation data. I wonder how much products have been devalued by quantity since say 2000 or 2009 and what influence that puts on CPI data. How much of the current official CPI figures are being held down by downsized quantities?

Herman Cain Plans to Take the Senate On

Herman Cain 

Herman Cain said he has no intention of withdrawing his name from consideration for a seat on the Federal Reserve Board, despite apparently lacking enough Senate support to be confirmed if President Trump nominates him, reports The Wall Street Journal.

Did Tax Reform Raise the Cost of Owning a Home?

There is some fascinating analysis just released by the New York Federal Reserve Bank (by economists Sonia Gilbukh, Andrew Haughwout, Rebecca Landau, and Joseph Tracy) that shows how President Trump's tax reform has raised the cost of owning a home in high tax states.

Tyler Cowen on Why He is Against a Gold Standard

Tyler Cowen

This really boggles the mind.

Koch-funded Tyler Cowen, who was once considered the next Murray Rothbard, writes in his latest Bloomberg column the three reasons that he is against a gold standard.

Abolish the Welfare State to Solve the National Debt Crisis

Richard Ebeling emails:

I have a new article on the website of the Future of Freedom Foundation (FFF) on, “Abolish the Welfare State to Solve the National Debt Crisis.”

Few things are more frustrating to the friend of freedom than the difficulty in successfully making and winning the case for liberty. But a major reason is the hesitancy or unwillingness of some declared friends of freedom to forthrightly make the case for the abolition of the interventionist-welfare state.

The Moore and Cain Nomination Fiascos: What Trump Should Do

President Trump's attempt to pack the Federal Reserve with even more crazed inflationists is apparently failing.

Chart of the Day: Median Weekly Nominal Earnings...

...for those holding at least a bachelor's degree and are 25 years old or older.

Where do you fit?



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Fed Official Wants to Allow Price Inflation to "Run Hot"

Eric Rosengren

The president of the Federal Reserve Bank of Boston, Eric Rosengren, said he favors the central bank moving from using interest-rate policy to achieve 2% inflation to a regime that targets a range of price pressures, reports The Wall Street Journal.

Economist Snatched at Night, Questioned for 'Insulting' Erdogan

Mustafa Sonmez

Istanbul police briefly detained Mustafa Sonmez, an economist known for opposing the government's policies, for allegedly insulting Turkish President Recep Tayyip Erdogan on social media, according to Bloomberg.

A Republican "Free Market" Senator Who Hates WalMart

Alexandria Ocasio-Cortez spills the beans.

WATCH: Vid clip from the latest @SkullduggeryPod, @AOC answers the question, "Are there any #Republicans you can work with?"
LISTEN: Full pod ep here: https://t.co/5h4lMjt1la -- @Isikoff @dklaidman @YahooNews #SkullduggeryPod #AOC pic.twitter.com/1b5dgnwfdx

— Skullduggery (@SkullduggeryPod) April 15, 2019

In other words, AOC understands he is more socialist-leaning then he does himself.

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The Dumbest Thing I Have Ever Seen Written at Cato

Cato.org is running a piece that originally appeared at CNN.

It was written by Jeffrey Miron who is director of economic studies at the Cato Institute and the director of undergraduate studies in the Department of Economics at Harvard University and Ryan Bourne, the R. Evan Scharf Chair for the Public Understanding of Economics at Cato.

Hey Trump, I'll Take Three Undocumenteds So Bring Them On Up

By Robert Wenzel

So the latest from combover man is that he is going to use ICE as kind of a transportation service and ship newly arriving undocumented to sanctuary cities.