Economics

Interest Rates Need to Tell the Truth

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In the middle of July 2018, President Donald Trump said in an interview that he was “not happy” with the Federal Reserve nudging up interest rates and threatening economic growth in the United States. At the recent Jackson Hole, Wyoming, meeting of global central bank leaders, the Federal Reserve chair, Jerome (“Jay”) Powell, said the Fed board would continue ... [click for more]

Economic Armaments and China’s Global Ambitions

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The world continues to move in potentially dangerous directions. A leading component of this threat is the use of economic armaments by governments to gain political and market advantages in their foreign relations with other countries. Among the leading participants in the use of such economic armaments is the government of China. First, what are “economic armaments”? In the 1930s, ... [click for more]

Some Confusions of Language in Economic Thought

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Fifty years ago, in 1968, Austrian (and Austrian school) economist Friedrich A. Hayek published a monograph called The Confusion of Language in Political Thought. Hayek argued that the words we use and the meanings we give to them greatly influence how we think about the political system and the wider social order in which we live. ... [click for more]

Tariff Walls and Trade Wars Equal Government Planning

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Trade wars are dangerous and harmful policies for governments to pursue. They hurt consumers due to higher prices and fewer alternatives; they reduce competitive opportunities for producers by restricting markets; and they narrow the benefits that come from a market-based system of division of labor in which each participant tends to devote his or her efforts to supplying the ... [click for more]

Monetary Fallacies and Inflationary Bubbles

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Looking to the next few years ahead, is America and the world going to continue riding a wave of economic growth, improving standards of living, falling and lower unemployment, and technological changes that will continue to raise the quality and variety of life? Or will this turn out to be, at least partly, an artificial economic boom that will ... [click for more]

Reasons for Anti-Capitalism: Ignorance, Arrogance, and Envy

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Why is the free enterprise or capitalist economic system so widely disliked, hated and opposed? Given the success of the competitive market economy to “deliver the goods,” it presents something of a paradox. An economic system that has either radically reduced or even in some instances virtually eliminated poverty, that has created widely available opportunities for personal, social and ... [click for more]

Freedom and the Minimum Wage

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Most of us both value and take for granted the ability to make decisions about our own lives. When busybodies put their noses and their mouths into our personal affairs, we often say or at least think, “Mind your own business.” Unfortunately, we live in a world in which too frequently government won’t leave us alone, and instead, very ... [click for more]