David Cay Johnston emailed me that there were errors in Forbes contributor Tim Worstall’s recent criticisms of the linked article. Indeed there are, but the biggest one (or at least the funniest one) isn’t the one Johnston pointed me to. Worstall writes that AbbVie’s pending inversion will not, by itself, reduce the taxes the company […]
John Bluedorn and Shengzu Wang wrote a post on the IMF blog called, Euro Area: An Unbalanced Rebalancing? They talk about the unbalanced Current Account trade balances within Europe where creditor nations continue with large surpluses, even though debtor nations are moving toward surpluses themselves. They give reasons of competitiveness, increased saving and low investment. […]
I read an article by Gavyn Davies, Another False Alarm on US Inflation?. He states that projections of rising inflation are not warranted due to lack of wage-growth pressures. I agree with him, but I want to go one step further and say that the uptick in inflation is understandable. I have written before about […]
Via Economist’s View ‘California’s Job Growth Defies Predictions after Tax Increases’: This article, by David Cay Johnston, is getting a surprising number of retweets: State’s job growth defies predictions after tax increases, by David Cay Johnston, The Bee: Dire predictions about jobs being destroyed spread across California in 2012 as voters debated whether to enact […]
Guest post by Bruce Carman. He first comments on an article from Jeremy Grantham who says that a coming bubble is likely. “. . . There are massive reserves of labor in the official unemployment plus room for perhaps a 2% increase in labor participation rates as discouraged workers potentially get drawn into the workforce […]
Simon Wren-Lewis writes about the difference between how the neofiscalists and market monetarists view the solution to the world’s economic woes. Basically, neofiscalists are ready to use whatever is necessary. Market monetarists limit themselves to creative monetary policy. He uses a car analogy. “To understand why I do get annoyed with MM, let me use […]
Corporate “inversions” are back in the news again, as multinational corporations try every “creative” way they can to get out of paying their fair share of taxes for being located in the United States. With inversions, the idea is to pretend to be a foreign company even though it is physically located and the majority […]
by Maggie Mahar If you think fertilized eggs are people but refugee kids aren’t, you’re going to have to stop pretending your concerns are religious– Syd’s SoapBox News reports have been filled with conflicting theories explaining why tens of thousands of unaccompanied children from Honduras, El Salvador and Guatemala, have been streaming into the U.S. […]
This will be a vague confused post related to the question of why the great recession didn’t lead to deflation in the USA. From 2003 through 2007 there was low CPI inflation about 2% to 3%. A huge recession, sluggish recovery and gigantic persistent output gap caused inflation to drop into the range from 1% […]