Sunday, February 17, 2019

About Bill Gates' Attack On Modern Monetary Theory

How insane is MMT?

Even Bill Gates, who is not known for his soundness in economics, just attacked MMT---and with good reason.

Saturday, February 16, 2019

Hyper-Adaptation and IQ

Highlighted from the comments to the post, Is There a Government Connection to Low IQ?

Donxon writes: 

EXPLOSION: U.S. National Debt Hits Record $22 Trillion

The U.S. government's public debt is now more than $22 trillion — the highest it has ever been and the new debt level reflects a rise of more than $2 trillion from the day President Trump took office in 2017.

And it is going to get much worse.

What Drives Price?

Saturday Mail Bag

John W. emails:

Dear Sir,

I'm a regular reader of EPJ.

I recently watched your video about Say's Law. Could you possibly explain a little more how the process of market clearing causes it to be untrue that there can ever be a deficiency of demand?

What drives price more: production or consumption, and why?

As a second question, am I understanding you correctly to say that markets always clear?

How To Support EPJ

Brian T. emails:

Do you have a patron account? I want to support your work. Maybe signing up to your newsletter is the best way to do that. I don’t invest much right now so it’d just be for the commentary which would be alright with me.

RW responds: 

Friday, February 15, 2019

Boston University Economics Professors: "We Are Very Proud of Alexandria Ocasio-Cortez"

Alexandria Ocasio-Cortez
By Robert Wenzel

Although there are many questions about whether socialist congresswoman Alexandria Ocasio-Cortez understands basic economics, the economics faculty at Boston University, where she graduated in 2011 cum laude from BU's  College of Arts and Sciences with a bachelor's degree in international relations and economics, seems to be in full support of her.

Thursday, February 14, 2019

"Progressive" Attacks on Capitalism Were Key to Hitler's Success

The following, written in 1940, is excerpted from Interventionism, An Economic Analysis, which was originally part of Nationaloekonomie, the German predecessor to Human Action. 

By Ludwig von Mises

Hitler, Stalin, and Mussolini constantly proclaim that they are chosen by destiny to bring salvation to this world. They claim they are the leaders of the creative youth who fight against their outlived elders. They bring from the East the new culture which is to replace the dying Western civilization. They want to give the coup de grace to liberalism and capitalism; they want to overcome immoral egoism by altruism; they plan to replace the anarchic democracy by order and organization, the society of “classes” by the total state, the market economy by socialism. Their war is not a war for territorial expansion, for loot and hegemony like the imperialistic wars of the past, but a holy crusade for a better world to live in. And they feel certain of their victory because they are convinced that they are borne by “the wave of the future.”

Wednesday, February 13, 2019

The Correlation Between IQ and Success, Is There a Government Connection to Low IQ?

By Robert Wenzel

Ten days ago, Dr. Michael Edelstein sent out to a private email group  a link to "Spurious Correlations":

Since I am not a big fan of any statistical correlations in any complex sciences and knowing that Michael tends to mention from time to time the statistical correlation between high IQs and success in life, I thought it would be fun to respond this way:

Tuesday, February 12, 2019

AOC's Green Great Leap Forward is Nothing Short of Destruction of Life as We Know It

Alexandria Occasio-Cortez
By William L. Anderson

In what its supporters have claimed is “visionary,” the congressional media darling, Alexandria Occasio-Cortez (AOC) has released her short-awaited Green New Deal , and she has called for nothing short of destruction of life as we have known it:

Monday, February 11, 2019

Students Love AOC's 'Green New Deal'... Until They Hear What's In It


Cambridge Economist Protests Brexit By Allowing Students To Sign Her Naked Body During Lecture

Victoria Bateman
“Brexit leaves Britain naked.”

That was the message scrawled on economics scholar Victoria Bateman’s completely nude body during a recent lecture she gave at which audience members were allowed to “create a living anti-Brexit petition by signing her bare body,” Inside Higher Ed reports.

Welcome to the White House, Larry Kudlow

Larry Kudlow and Trump
From Team of Vipers: My 500 Extraordinary Days in the Trump White House, the new book from former special assistant to the president Cliff Sims:

A couple of days later, Larry Kudlow called me back upstairs. When I got to his office suite---he was sharing with Gary Cohn, who had resigned but not yet departed - he look worried.

Washington Post Columnist: "Trump’s War On Socialism Will Fail"

By Robert Wenzel

President Trump's attack on socialism during the State of the Union address appears to have provided a strong dose of courage to many who have desired for a very long time to promote socialism in the United States.

Sunday, February 10, 2019

The Significance of Mises's "Socialism"

Ludwig von Mises
RW note: In this day and age of Alexandria Ocasio-Cortez and the American socialists, it is more important than ever to understand what Ludwig von Mises taught about socialism.

The Significance of Mises's "Socialism"

By Peter J. Boettke

That Ludwig von Mises was one of the greatest economists of the 20th century should never be doubted.

The Story of Silver

A new William  Silber book is out, The Story of Silver: How the White Metal Shaped America and the Modern World.

From the blurb:

How silver influenced two hundred years of world history, and why it matters today

The Robert Higgs Open Letter to Alexandria Ocasio-Cortez and Why He Didn't Launch a Master Plan For Government Takeover of the World

Excellent stuff from Robert Higgs:

Thank You, Federal Reserve: First Edition of Ayn Rand's 'The Fountainhead' on Sale for $75,000

The 52nd California International
Antiquarian Book Fair
The 52nd California International Antiquarian Book Fair is ongoing this weekend in Oakland, California.

By the looks of things, the rare book market is very strong.

Saturday, February 9, 2019

Is Japan’s Economic Stagnation Due to Construction of Subsidized High-Speed Rail Lines?

Japanese high speed train
By Randal O’Toole

On January 23, the Wall Street Journal reviewed my recent book, Romance of the Rails, calling it an “exhaustively researched exploration of America’s passenger-rail story.” Naturally, this brought a response from a rail enthusiast named Benjamin Turon chiding me for “failing to point out how poorly and unimaginatively trains in the U.S. are run compared with innovative and efficient rail systems in Europe and East Asia.”

Will Rent Controls Destroy the London Rental Market?

Camilla Cavendish reports in the Financial Times that rent controls may be coming to London:
One of the most eloquent arguments against rent control was made inadvertently by the screenwriter Nora Ephron, describing her love affair with her apartment on Manhattan’s Upper West side. The author of the script for the film When Harry Met Sally wrote hilariously in her memoir about the mice, the asbestos and the vast “key money” bribes paid to secure a place in the block whose landlords had, under rent control, no incentive either to maintain the building or play fair.