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 […]

What do you get if you mix Donald Trump and Donald Duck? Just a bit of humor for the late night crowd…

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 […]

Heartwarming: It’s still unclear how or why the scrappy, apricot-colored dog with pointy ears showed up to the starting line of the 155-mile ultramarathon in June. The closest village was several miles away, and all that lay ahead was the vast, unforgiving Gobi Desert. Dion Leonard, a distance runner from Scotland, noticed the pup scampering alongside a group […]

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, […]

Via NYT comes comment on a future Supreme Court case: There are longstanding differences between Boston and New York, like the rivalry between the Red Sox and the Yankees. Adding a new one, the federal appeals courts in each city have taken different approaches to the type of benefit a tipper must receive in exchange […]

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 […]