New Study Confirms that the “Gender Pay Gap” Results from Women Making Different Choices

By: Ryan McMaken In November, Harvard economists Valentin Bolotnyy and Natalia Emanuel published a new working paper titled “Why Do Women Earn Less Than Men? Evidence from Bus and Train Operators.” In the study, Bolotnyy and Emanuel study unionized bus and train operators to determine whether or not a gender […]

18. Warren Mosler Defends the Essential Insights of Modern Monetary Theory (MMT)

Bob brings on MMT superstar Warren Mosler to explain—not to debate!—his understanding of Modern Monetary Theory. After summarizing Mosler’s interesting background, the two discuss the assumptions behind MMT and its implications for economic policy. For more information, see BobMurphyShow.com. The Bob Murphy Show is also available on iTunes, Stitcher, Spotify, […]

The Benefits of Brexit

On June 23, 2016, the British electorate voted 51.9 percent-48.1 percent in favor of the United Kingdom leaving the European Union. The referendum was one of the biggest political earthquakes that preceded the election of Donald Trump on November 6, 2016. The reasons for leaving were numerous ranging from: questionable […]

65. James Heathers: Why Science Needs Data Thugs

Will it take data vigilantes to restore some order in the House of Science? With the replication crisis showing no sign of letting up, some committed scientists have taken it upon themselves to find ways to sniff out cases of egregious fraud. As it turns out, identifying scientific misbehavior is […]

Central Banks Get Scared: Forget About Promises to Reduce Balance Sheet

By: Ryan McMaken After two years of a lot of aggressive-sounding talk about reducing the Fed’s balance sheet and raising the target interest rate, the Fed in recent weeks has reversed  itself, and declared that now’s a time to take things more slowly. At the January FOMC meeting, officials:  widely […]

Two Simple Questions Keynesians Can’t Answer

Let us say that a carpenter wishes to cut fifty boards for the purpose of laying the floor of a house. He has marked his boards. He has set his saw. He begins at one end of the mark on the board. But he does not know that his seven-year […]

Socialism, Capital, and Venezuela’s Oil

Amidst the current social and political turmoil in Venezuela, a discussion over what could drive a foreign military intervention in the country has been making headlines lately. To my surprise, Venezuela’s oil reserves ( the largest in the world ) are among the top reasons people believe the US Government […]

Antitrust Policy Is Both Harmful and Useless

Introduction Monopoly Theory Cartels and Predatory Practices Government and Monopoly Antitrust: Some Classic Cases Standard Oil of New Jersey (1911) American Tobacco (1911) American Can (1949) and United Shoe (1954) Microsoft (2001) Conclusions Author   The United States has had antitrust legislation at the federal and state level for more […]

“Concentration Camp” Is Not a Pejorative Term

By: Ryan McMaken On February 19, 1942, President Franklin Roosevelt issued Executive Order 9066 authorizing military personnel to lock Americans of Japanese descent in concentration camps that are often euphemistically called “internment camps.” To this day, some apologists for the internment camps — and the harsh measures carried out by […]

A Politically Incorrect Guide to Antitrust Policy

Introduction Monopoly Theory Cartels and Predatory Practices Government and Monopoly Antitrust: Some Classic Cases Standard Oil of New Jersey (1911) American Tobacco (1911) American Can (1949) and United Shoe (1954) Microsoft (2001) Conclusions Author   The United States has had antitrust legislation at the federal and state level for more […]

Guerreros de la justicia social: no se trata solo de economía

By: Dominick Armentano Si crees que la retórica de «impuestos a los ricos» de izquierda del Partido Demócrata es principalmente sobre economía, estarías tristemente equivocado. Después de todo, no hay suficientes ingresos fiscales en el segmento de ingresos más altos, incluso con una tasa marginal del 90%, para financiar el […]

“Medicare for All” Is Much Costlier than Most Admit

Ever since Senator Bernie Sanders centered his campaign for the Democratic Presidential nomination on “Medicare for all,” it has attracted increasing support. In a Kaiser Family Foundation poll last month, 56 percent of all respondents and 81 percent of Democrats backed “a national health plan, sometimes called Medicare for all,” […]

The Grandson of “I, Pencil”

Steven Kates is an Australian economist and the author of Say’s Law and the Keynesian Revolution: How Macroeconomic Theory Lost Its Way and Free Market Economics: An Introduction for the General Reader, now in its third edition  He has long been a perceptive and unrelenting critic of current Keynesian-style macroeconomics […]

The Case for Legalizing Blackmail

Due to Jeff Bezos’ public accusations against the National Enquirer, the topic of blackmail is in the news. Tyler Cowen wrote an article for Bloomberg in which he largely took it for granted that blackmail was a bad practice, but he at least linked to a 1985 law review article […]

The Why of Human Action

[Found among the papers of Bettina Bien Greaves and reprinted from Plain Talk (1949), Editor’s comment: Those millions of illiterate and semi-literate armed men now in action from the borders of the Yellow Sea to the mountains of Greece have been set in motion by a ponderous and little-read study […]

It Turns out the Long Term Does Matter After All

It is fairly easy to imagine the regressive left having childishly high time preference; they see some current social ill (homelessness, potholes , student debt, inequality) and want them abolished right away. If your position is: “solve the problem now, damn the future consequences,” you show a very high discount […]

The Emergence of Grant, Part 3: Fort Donelson

Season 3, Episode 45 The Battle of Fort Donelson would take place over several days. Waged from two fronts, the land and the river, the battle would seem to be turning in favor of the Confederates. While Ulysses S. Grant was off the battlefield consulting with the naval commander, Captain […]

As Lending Standards Fall, Worries of a New Bust Rise

With more than a decade having passed since the financial crisis of 2007/8, the mainstream economics profession still seems to be almost as far from agreeing on the ultimate causes of that crisis as they were from being able to foresee its arrival back in the mid-2000’s. If asked about […]

Lange, Mises and Praxeology: The Retreat from Marxism

Most economists are familiar with the controversy on the possibility of economic calculation under socialism, and with the fact that Ludwig von Mises and Oscar Lange were the two major protagonists of that debate.1 Many are also familiar with Lange’s ironic gibe that, for having posed the problem which Lange believed […]

Why Birthright Citizenship Is Rare In Europe

Luxembourg citizens voted in an election last year. But as The Economist has noted, “48% of those who live there were not allowed a ballot-paper.” This is because a great many immigrants live in Luxembourg, but few of them quickly become citizens — which means few can vote. According to […]