Category Archives: Economics and economy

David Leyonhjelm on Partners for Growth

Treasurer Morrison has asked parliamentarians to partner the Government in its efforts to boost the incomes of Australians. Where do I sign? We find out whether we are in recession on the 1st of March 2017, and there are only … Continue reading

Posted in Economics and economy, Guest Post, Rafe | 18 Comments

The tragedy of modern macroeconomics

The cross-post from Richard Holden begins as follows: Economists did not predict the financial crisis of 2007, nor did we predict that advent of secular stagnation that has followed. Those events have shaken the economic and political world. Our theories … Continue reading

Posted in Classical Economics, Economics and economy | 15 Comments

Insomnia cure

For all those Cats having difficulty sleeping – my good friend Chris Berg has posted his PhD thesis online. From the abstract: Between the 1890s and 2008 the Australian system of prudential regulation of banking went from an almost entirely … Continue reading

Posted in Economics and economy, History | 7 Comments

Cross Post: Richard Holden Printing more money isn’t the answer to all economic ills

Economists did not predict the financial crisis of 2007, nor did we predict that advent of secular stagnation that has followed. Those events have shaken the economic and political world. Our theories need work. Maybe a lot of work. But … Continue reading

Posted in Cross Post, Economics and economy | 11 Comments

Standard errors of sub-standard theory

Apparently, Trump has almost entirely overlooked economists for any of the major posts which has led to this article: Economists Contemplate Life on the Outs. The President-Elect does not seem to value economists very highly, which the following reaction might … Continue reading

Posted in Classical Economics, Economics and economy | 33 Comments

He doesn’t know it but he’s talking about Say’s Law

Why shouldn’t I write a post in Australia just because I am sitting on a train going from Aarhus to Copenhagen? Anyway, this is from Captain Capitalism, in a quite nice post on Debunking the Multiplier Effect. To me it … Continue reading

Posted in Classical Economics, Economics and economy | 32 Comments

Economists will never ever get it right until Say’s Law returns

Two things sent to me by friends of which this is far and away the most significant. There may be about half a dozen economists in the world who understand the difference the absence of Say’s Law makes to economic … Continue reading

Posted in Classical Economics, Economics and economy | 70 Comments

David Leyonhjelm on greenhouse policy

Once again, the Government has been getting its knickers in a knot over climate change. And once again, despite three politically shrewd options to choose from, it is choosing a dumb fourth option. The first of the shrewd options is … Continue reading

Posted in Economics and economy, Global warming and climate change policy, Guest Post, Rafe | 55 Comments

Send in the (economic) clowns

The social sciences are just opinion dressed up as evidence-based theory. From something just sent to me, although published in the middle of December: Reform the economic system now or the populists will do it: The interests of the financial … Continue reading

Posted in Economics and economy | 52 Comments

Debt in the MYEFO

I captured data for Net debt and the Face value of outstanding Commonwealth securities (Gross debt) i.e. the amount of money that actually has to be paid back. Looks ugly – especially how the gap between net debt and gross … Continue reading

Posted in Budget, Economics and economy | 29 Comments