Category Archives: Economics and economy

What is particularly obvious is how inane modern economic theory is

I only look at Ross Gittins to find out just how far off the beam economists are, and once again he does not disappoint: Now we’re trying Plan C to end wage stagnation: It’s a tacit acceptance of an obvious … Continue reading

Posted in Classical Economics, Economics and economy | 3 Comments

It isn’t your money. It belongs to Scott and Josh

Economists slam ‘outrageous’ lockdown secrecy. The government has refused to ­release Treasury documents that spell out the assumed costs and benefits of border closures, lockdowns and other COVID-19 ­restrictions, a decision prominent economists have slammed as ­“outrageous”. The federal government … Continue reading

Posted in Classical Liberalism, Economics and economy | 8 Comments

Tony Abbott was the living embodiment of Adam Smith

HE must have been, right? ABC business reporter Gareth Hutchens argues that Josh Frydenberg is “repudiating the economics of Tony Abbott.” The Treasurer’s man-crush on John Maynard Keynes is “radically different” to Abbott’s preferences and situates Frydenberg “more in the … Continue reading

Posted in Economics and economy, Fake News, History | 56 Comments

“A beautifully crafted and eminently fair review”

I’ve just written a book review for the eh.net website which I would not normally mention except that it attracted this comment from Tom Humphrey, one of the great historians of economics writing today: A beautifully crafted and eminently fair … Continue reading

Posted in Books and writing, Classical Economics, Economics and economy | 10 Comments

fyi

Who can say if any of this will really happen? What can be said is that there is no reason to be certain it couldn’t. We are pumping out money incomes across the world to people who are not producing … Continue reading

Posted in Economics and economy | 52 Comments

Keynesian malpractice started early

I don’t normally wish to speak ill of the dead, but with John Maynard Keynes I will make an exception. What has brought it to mind is this article today in The Australian: Investors could learn from economist John Maynard … Continue reading

Posted in Economics and economy, Economics on the left | 13 Comments

I don’t think so

I understand that Scott Morrison is trying to be positive. But … “There are now more jobs in the Australian economy than there were before the pandemic,” the Prime Minister said. That’s not quite true. The number of (seasonally adjusted) … Continue reading

Posted in Economics and economy, Taking out the trash | 32 Comments

Is pent-up demand sustainable?

So a few days I ago I pointed to the contradiction between GDP figures showing the economy is bouncing back and business failure data suggesting that it isn’t. Alex captures is quite nicely. During the lockdown there wasn’t too much … Continue reading

Posted in COVID-19, Economics and economy | 26 Comments

A reminder that an economic stimulus has never ever led to a recovery

Since we are about to indulge in yet another “stimulus” I thought I would remind you of the last time this was tried with absolutely classical pre-Keynesian results. I will add that there has never been a single occasion when … Continue reading

Posted in Classical Economics, Economics and economy | 157 Comments

For the love of god – how much more money will you waste?

Taxpayers will bankroll 800,000 half-priced airfares under a $1.2bn stimulus package aimed at shielding the aviation and tourism ­industries, and throwing a lifeline to regional economies when the $90bn JobKeeper wage subsidy scheme ends this month. Cheap loans will also … Continue reading

Posted in COVID-19, Economics and economy | 90 Comments