As a many-times business owner, I noted a couple of years back that in the ecosystem of publicly traded companies, there is nobody who thinks, acts, has incentives like, or is really anything like a real business owner. I’m pleased to find that Adam Smith agrees with me (emphasis mine): The trade of a joint […]
Adam Smith on Corporatism
It’s a Good Day
The Big C finally got rid of the inept hedge fund “manager” who finished destroying their franchise. Of course, maybe this time they will replace him with Timmeh, instead of just pretending they will so he swallows more and harder. Just in case Orszag isn’t enough. Still not buying, but I would seriously consider closing […]
GDP Growth Caused By Tax Cuts Has Never Happened
Mike’s post here got me thinking. I’ll telegraph my conclusion. He dramatically understated his case. You can see the long range view of nominal and inflation adjusted GPD growth in Graph 1 of FRED quarterly YoY percent change data. Graph 1 YoY growth Nominal and Inflation Adjusted GDP Nominal GDP Growth was in a secular […]
"If you tax investment income what will people do? Stuff their money in the mattress?"
Richard Thaler asks exactly the right question. This from the latest IGM Forum poll of big-name economists, on the effects of taxing income from “capital.” I’ve been over this multiple times before, but it’s nice to see the thinking validated by a real economist. If you’ve got money, there is no (practicable) alternative to “investing” […]
Did Global Warming "Stop" Sixteen Years Ago?
An acquaintance of mine who’s very statistically savvy (and quite conservative) posted the following link on Facebook today. I replied as follows (I’ve replaced a link here with a clickable image): As a statistics guy, you know way better than most how important sample size is. There was a 30-year plateau in the HADCRUT data, […]
At long last, have you left no sense of decency? (The most important fact that Obama can point to tomorrow night)
Have you no sense of decency, sir? At long last, have you left no sense of decency? — Joseph N. Welch, head counsel for the United States Army while it was under investigation by Joseph McCarthy‘s Senate Permanent Subcommittee on Investigations for Communist activities, an investigation known as the Army-McCarthy hearings. Spring 1954. Shortly after the Denver debate two weeks ago, […]
GDP, Prosperity, The Wealth Effect, and Marginal Propensity to Consume
Comes to mind: the one about the two British ladies who meet at the Ascot races. “My dear,” says the first. “What a lovely hat. Where did you get it?” “Oh darling,” says the second, looking somewhat pained, “don’t you know, we have our hats.” It comes to mind as I ponder the rather grudging […]
The 1964 Tax Cuts and Economic Growth – Paul Ryan Edition
by Mike Kimel The 1964 Tax Cuts and Economic Growth – Paul Ryan Edition During last week’s Vice Presidential debates, Paul Ryan stated: “Jack Kennedy lowered tax rates, increased growth.” There was some commentary about Biden’s response (“Oh, now you’re Jack Kennedy.”) but just about everyone seems to miss what I think is the important point. Take […]
If Europe Adds a Financial Transactions Tax, Will We Follow?
by Linda Beale If Europe Adds a Financial Transactions Tax, Will We Follow? Has the time come for the US to impose a financial transactions tax? It would have several positive features. First, it would raise revenues, which are sorely needed for everything from climate change action to infrastructure improvements to aid for needy families. […]