Interest, Bubbles, and the Federal Reserve
A couple debates ago (at this point, it almost seems like a good way to keep time), CNBC’s Maria Bartiromo asked Rep. Ron Paul if it was his position that higher interest rates would be good for the economy. Paul, careful to avoid the trap, focused on how artificially lowering interest rates devalues [...]
Continue Reading →The Importance of Debt
While the singular focus of politicians and voters alike seems to be on jobs, one issue that should not be lost on either group is the growing problem of the US debt. One only needs to look across the Atlantic Ocean to the unfolding events in Europe over the last several months to be convinced of the severity [...]
Continue Reading →Do Illegal Immigrants Hurt the Economy?
It is often said that illegal immigrants steal jobs and depress wages. This statement is at least partially true: illegal immigrants do often work for less than their American counterparts, and this does result in some natives losing jobs to immigrant labor. However, the story doesn’t end there. When an employer spends less for the [...]
Continue Reading →Hurricane Irene and Price Gouging
When demand goes up, prices go up. Rising prices send the signal to producers that more supply is needed. In order to maximize profits, producers direct their supply to markets in which prices are highest. With more supply in the market, prices come back down and consumers’ needs are satisfied. The economic realities described above [...]
Continue Reading →Can Spending Cuts Create Jobs?
Appearing last night on Freedom Watch with Judge Andrew Napolitano, radio talk show host Nancy Skinner asked how cutting government spending can create jobs. Clearly pleased with herself, Ms. Skinner went on to observe that Tea Partiers and other small government types had yet to answer the question. On that point, she may be correct, [...]
Continue Reading →The Tea Party Recession
Not too long ago, a number of Republican politicians crept out of a cave, on a mission to reduce the size of the American government. They named themselves after the American patriots who delivered freedom to this country. Today, few politicians and pundits can say their names without disdain. They are the Tea Party. They [...]
Continue Reading →Unemployment by State: GOP Bests Dems on Jobs
As the battered economy continues to stagnate, the number one issue in Washington is jobs. The dueling talking points of Democrats and Republicans have been repeated ad nauseam, but who really has the better plan to get America working again? In the United States, we are lucky to have fifty laboratories in which to test [...]
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