The Bank’s ‘Stress’ Tests
byMy report on the Bank of England’s latest (November 2018) stress tests was published by the Adam Smith Institute on August 3rd. The purpose of the stress tests…
Does the GDP growth have anything to do with true economic growth?
byTo gain insight into the state of an economy, most financial experts and commentators rely on a statistic called the Gross Domestic Product…
The Coming Regime of the ECB: Radical Centrism
byThere is a changing of the guard at the European Central Bank this year with two important new appointments. Philip Lane, the governor of…
Obvious Capital Consumption
byWe have spilled many electrons on the topic of capital consumption. Still, this is a very abstract topic and we think many people still struggle…
Does the idea of price stability make sense ?
byThe idea of price stability originates from the view that volatile changes in the price level prevent individuals from clearly seeing market signals…
For a Virtuous Free Trade: Edmund Burke’s Economic Vision
byThe following excellent piece is by Kai Weiss, a Research Fellow at the Austrian Economics Center. Download the Study For a Virtuous Free Trade Here Summary Edmund Burke is…
Fed chairman and the Phillips curve
byOn July 11, 2019 before the Senate Banking Committee, the Federal Reserve Board Chairman Jerome Powell said that the relationship between unemployment and…
A mob of nasty, ignorant dwarves
by“The first rule of compounding is to never interrupt it unnecessarily.” Charlie Munger. “[Ronnie Millar] was.. surprised to be ordered by [Mrs….
Is low inflation a threat to the US economy?
by“When interest rates are low central banks don’t have much room to maneuver to deal with a crisis”, The New York Fed President…
4 Ways Employers Respond to Minimum Wage Laws (Besides Laying Off Workers)
byMost of you will be familiar with a supply and demand graph. This shows a demand curve, which graphs the relationship between the price…