Keynesian Accounting Card Tricks Create Absurd Theories

Storms of comments on the economic collapse of the lockdown have been met with some reoccurring statements from the Keynesians and MMT believers. Nikki Haley wrote on Twitter that state budgets should have had rainy day funds ready for events like this, which seems like an obvious comment. She was then attacked for now knowing … Continue reading Keynesian Accounting Card Tricks Create Absurd Theories

Exploding the “National Security” Case Against Free Trade

Protectionism might be the oldest economic fallacy that will never die. We have been refuting it for hundreds of years and will still be refuting it for hundreds more.  But protectionist arguments take many forms, going in and out of style. “We understand that tariffs make products more expensive for the consumer”, they tell us, … Continue reading Exploding the “National Security” Case Against Free Trade

Price Controls For Immigrant Farm Labor

In the mainstream news, confusing headlines say that the government is “seeking to cut farmworker wages.” Both the Wall Street Journal and NPR describe it this way. NPR says, “To Help Farmers, White House Wants To Lower Migrant Wages.” Obviously this is pretty dastardly. The federal government, which apparently sets all prices, just feels that … Continue reading Price Controls For Immigrant Farm Labor

“Price Gouging” is Scarcity Extended to the Individual

The price gouging explanations have been back for weeks, with the usual, and correct, defenses of the market and how it allocates scarce resources during a crisis. Higher prices are a result of higher demand immediately after a crisis, with a greater disequilibrium from supply. Factors of production cannot produce more of the specific product … Continue reading “Price Gouging” is Scarcity Extended to the Individual