Category Archives: Classical Economics

Vaclav Klaus on Peter Bauer

h/t Jessie on the open thread. A very elegant tribute to a man who was a true scholar and a gentleman as well. He came in Sydney in 1989 to visit the Centre for Independent Studies en route to a … Continue reading

Posted in Classical Economics, Rafe | 2 Comments

Oxford University Press from out of nowhere quotes Mill’s fourth proposition on capital

This is a tweet sent out by Oxford University Press Economics. Oxford Economics‏ @OUPEconomics FollowFollow @OUPEconomics More “Demand for commodities is not demand for labour.” – John Stuart Mill < 1:14 AM – 30 Jul 2018 . From Oxford University Press with … Continue reading

Posted in Classical Economics, Economics and economy | 10 Comments

Economics as physics

So the US economy is expanding at a 4.1% annual rate and is experiencing a tightening labour market and possibly even rising real wages. That the American economy under PDT would shed the shackles left by eight years of Obama … Continue reading

Posted in Classical Economics, Economics and economy | 18 Comments

The difference between Keynesian and classical economics

Posted a few days back on Quora in answer to the question: What is the difference between Keynesian and classical economics? There are 13 other replies which not much more than prove to me that no one without a truly … Continue reading

Posted in Classical Economics, Economics and economy | 9 Comments

Economic theory is all right in theory

“Every economic answer is a political question.” Here then is a question for all you experts on international trade, taken directly from my Free Market Economics [pp. 248-249]. Picture two countries, A and C. Suppose in Country A, in one … Continue reading

Posted in Classical Economics, Economics and economy | 149 Comments

Beyond Economics 101

This post on Economics 101 reminds me yet again how useless modern economic theory is at working through almost any economic issue at all. It’s about the theory of comparative advantage, I think, and the role of free trade in … Continue reading

Posted in Classical Economics, Economics and economy, Market Economy | 27 Comments

There are Keynesians in even the most unlikely places

This is from, of all places, Maurice Newman’s article in The Oz today on Trump’s news might be bad for his forgotten flock. So which is the absolutely wrong word in this passage? Despite a decade of easy money, continued … Continue reading

Posted in Classical Economics, Economics and economy | 8 Comments

To understand how an economy works you need to understand classical economic theory

So long as Keynesian economics remains the mainstream, there is no possibility of taking down the crony capitalist system of economic mis-management that is at the heart of modern policy. Because Keynesian theory is the mainstream which everyone learns, economists … Continue reading

Posted in Classical Economics | 6 Comments

Classical economic theory and the American recovery

UPDATE ABOVE: Birthday pressies from the family who seem to know me quite well. Modern economics explains to governments how they and their crony capitalist mates can steal from you while pretending they are doing you good. And before we … Continue reading

Posted in American politics, Classical Economics, Economics and economy | 29 Comments

Economic theory and junk science

You may have heard me mention once or twice before that Keynesian economics is junk science, but just in case you missed it I am going to mention it again. What has brought all this to mind is reading the … Continue reading

Posted in Classical Economics | 35 Comments