In case you missed it, like I did, the velocity of the M2 money supply is declining more quickly. That normally indicates that the economy has taken the turn toward an eventual contraction.

I continue to explore the model that I posted this morning extending a relationship between inflation and capacity utilization. The model shows that labor share would determine the most balanced inflation target… and the inflation target then becomes variable depending upon the how labor share changes in the economy. Remember, it was once thought that […]

I have been in the workshop building a model for inflation and other things. It builds upon the model for forecasting the profit rate cycle. And also upon the model for the relationship between inflation and net profit rates. The model was provoked by a video from Khan Academy on youtube. This model has many […]

Today Donald Trump gave a speech in Detroit describing some economic policies he’d like to pursue if he became president, and like with his other periodic “policy” speeches, he sounded as if he was encountering the speech, and the substance therein, for the first time as he sleepily read it off a teleprompter. But that doesn’t mean that […]

I see that Ben Bernanke talks about how the Fed’s views of the economy are changing, in particular that the Fed funds rate at the Natural level of production (Terminal as Bernanke puts it) is being revised downward in the past year. This agrees with my research into effective demand. I see that the Natural […]

by Mike Kimel Explaining Trump’s Appeal, Part 2 Last week I had a post looking at Trump’s appeal to a large segment of the electorate from an economic perspective. I noted that growth of real GDP per capita in the United States has been very, very slow since the year 2000. Even the recovery (say, […]

All the experts tell us not to pay too much attention to polls for another week or two. Still, it does look as if Hillary Clinton got a big bounce from her convention, swamping her opponent’s bounce a week earlier. Better still, from the Democrats’ point of view, the swing in the polls appears to […]

by Linda Beale Taxes, Government, and the Good Life, Part 2 In yesterday’s post, Taxes, Government, and the Good Life, I noted the “long-term position of the GOP” in favor of downsizing government, which can be seen, at least in part, as a way to justify the GOP obsession with cutting taxes on the wealthy […]

by Linda Beale Taxes, government, and the good life In 2012, Ed Asner narrated a cartoon video prepared for the California Federation of Teachers called “Taxing the Rich”.  It’s worth watching, given the four-decades-long effort by the GOP to convince ordinary Americans that “trickle down” economic goodies will be coming their way if they only […]

Via Thinkprogress: Republican presidential nominee Donald Trump announced his economic policy advisory team on Friday — a collection of 13 white men. While the list does not include any women or racial minorities, it does include five Steves. The people Trump will ostensibly rely on for economic guidance are are: Steve Roth, a fellow real […]