Category Archives: Classical Economics

‘Classical Economic Theory and the Modern Economy’ cover text comments, thoughts and suggestions sought

You may have noticed my lack of regard for modern economic theory which the following might help you understand more clearly. This is the draft of the cover text for the book I have just completed and sent off to … Continue reading

Posted in Classical Economics | 25 Comments

A how-to guide to economic policy

For any single business, higher demand, all other things being equal, makes them more money and can often lead to an increase in the number of employees. For an entire economy, higher demand has no bearing either on real incomes … Continue reading

Posted in Australian Story, Classical Economics, Economics and economy | 10 Comments

Inflation and its consequences

As you read this, remember that “inflation” in pre-Keynesian times did not mean a rise in the price level but an increase in credit and money. Sometimes prices also rise but sometimes they do not which is why Mises describes … Continue reading

Posted in Classical Economics, Economics on the left | 9 Comments

Productivity is dead

Just got to the AFR at the end of the day, and what do we find: Falling productivity numbers cloud economic recovery. The headline front-page story too. The weakest productivity numbers in at least 25 years have unsettled the outlook … Continue reading

Posted in Classical Economics, Economics and economy | 29 Comments

Economics is stale and worthless

This is the abstract for a paper on “The Focus of Academic Economics: Before and After the Crisis”.* As is quite obvious from watching Treasuries and central banks around the world, no one learned a thing. In fact, no one … Continue reading

Posted in Classical Economics, Economics and economy | 8 Comments

Ever wonder why real wages are falling?

METRO TUNNEL COSTS COULD BLOWOUT TO $3B A messy fight is looming over who will pay the huge extra costs of the Metro Tunnel, with the Andrew Government reportedly warned the total blowout of.. The Metro Tunnel is Victoria’s very … Continue reading

Posted in Classical Economics, Economics and economy, Economics on the left | 65 Comments

From Vancouver, Arizona, Washington DC and Vienna via Prague

In the hotel in Vancouver there were instructions to follow in the event of an earthquake. Regrettably only room for one under the desk. Arizona Sunset On Chesapeake Bay out of Annapolis near Washington DC Lolita the Opera was running … Continue reading

Posted in Classical Economics, Gratuitous Advertising, Rafe | 4 Comments

Hayek v Mises

Sinclair’s post and the John Papola video on Mises v Marx was a really interesting presentation but I doubt will have the same penetration as did his early video on Keynes v Hayek. This continues to provide some kind of … Continue reading

Posted in Classical Economics | 4 Comments

The long-forgotten supply side needs to be recalled

When I was the Chief Economist of the Australian Chamber of Commerce and Industry, this is what you never saw: Business Calls for Stimulus Spark. In normal English, this says, “Business Calls for More Money from Taxpayers”. There may be … Continue reading

Posted in Classical Economics, Economics and economy, Federal Politics, Uncategorized | 21 Comments

The illegitimate spawn of a relic from the Great Depression

From Judy yesterday: A Keynesian solution even Keynes would have tossed. A program Keynes came up with during the Great Depression when unemployment was 25% is still being applied by moron economists 80+ years later who are ruining our economies … Continue reading

Posted in Classical Economics, Economics and economy | 14 Comments