Home » Posts tagged 'cobden centre' (Page 8)
Tag Archives: cobden centre
The Dangers of Totalitarian Planning, Past and Present
THE DANGERS OF TOTALITARIAN PLANNING, PAST AND PRESENT Liberty is a delicate idea and institution. While people say they want freedom, fight under the banner of freedom, and even sometimes die for its preservation and advancement, determining what it actually means to be free and to live in a free society seems often elusive and […]
Macroeconomics Has Lost Its Way
MACROECONOMICS HAS LOST ITS WAY The father of modern macroeconomics was Keynes. Before Keynes there were macro considerations, which were firmly grounded in human action, the personal preferences and choices exercised by individuals in the context of their own earnings and profits. In order to give a role to the state, Keynes had to get […]
Some Confusions of Language in Economic Thought
SOME CONFUSIONS OF LANGUAGE IN ECONOMIC THOUGHT Fifty years ago, in 1968, Austrian (and Austrian school) economist Friedrich A. Hayek published a monograph called The Confusion of Language in Political Thought [4]. Hayek argued that the words we use and the meanings we give to them greatly influence how we think about the political system and the […]
Can Deflation Undo the Damage of Inflation?
CAN DEFLATION UNDO THE DAMAGE OF INFLATION? In our various writings, we have suggested that loose monetary policy of the central bank, which amounts to the lowering of interest rates and monetary pumping, gives rise to activities that cannot exist by themselves without the support from this loose monetary policy. An increase in money supply […]
Can Sophisticated Technology Prevent Severe Economic Slump?
CAN SOPHISTICATED TECHNOLOGY PREVENT SEVERE ECONOMIC SLUMP? Most economic commentators are likely to agree that in relation to the period prior to the Great Depression, the present world is many times more sophisticated in terms of advanced technological knowledge. It is then tempted to suggest that with the present advanced technology we are in a […]
Canary in the Coal-MIne–Emerging Market Contagion
CANARY IN THE COAL-MINE – EMERGING MARKET CONTAGION Emerging market currencies, bonds and stocks have weakened Fears about the impact of US tariffs have been felt here most clearly The risk to Europe and Japan is significant Turkey may be the key market to watch As US interest rates continue to normalise and US tariffs […]
TARIFF WARS AND THE FALLACY OF THE BALANCE OF TRADE
TARIFF WARS AND THE FALLACY OF THE BALANCE OF TRADE The world may be on the brink of a series of trade wars between the United States and both the European Union and China. All the parties say they don’t want this — though President has asserted that trade wars are not a problem and […]
Why Gold Standard is Not Conducive of Boom-Bust Cycles?
WHY GOLD STANDARD IS NOT CONDUCIVE OF BOOM-BUST CYCLES? According to some commentators on the gold standard, an increase in the supply of gold generates similar distortions that money out of “thin air” does. Let us start with a barter economy. John the miner produces ten ounces of gold. The reason why he mines gold […]
Does Economic Growth Cause Inflation?
DOES ECONOMIC GROWTH CAUSE INFLATION? Most experts are of the view that as the economy gains strength the Fed must step in at some stage and introduce a tighter stance in order to prevent the rate of inflation getting out of control. Why however, should economic growth be positively associated with a general increase in […]
Free Market Capitalism as the Antidote to the World’s Ills
FREE MARKET CAPITALISM AS THE ANTIDOTE TO THE WORLD’S ILLS In following the daily news events both in the United States and around the rest of the world, it is easy to get lost in the detail and not step back once and awhile and remind ourselves what the really important issues are. Under the […]
The Growing Pool of Real Savings Permits the Illusion That Central Bank Can Cause Economic Growth
THE GROWING POOL OF REAL SAVINGS PERMITS THE ILLUSION THAT CENTRAL BANK CAN CAUSE ECONOMIC GROWTH Many commentators are of the view that the US central bank should pursue policies that will prevent the possible decline of the economy into a liquidity trap hole. What is this all about? In the popular framework of thinking […]
Deutsche Bank’s Troubles Raise Worries About the Future of the Euro Zone
DEUTSCHE BANK’S TROUBLES RAISE WORRIES ABOUT THE FUTURE OF THE EURO ZONE The euro banking sector is huge: In April 2018, its total balance sheet amounted to 30.9 trillion euro, accounting for 268 per cent of gross domestic product (GDP) in the euro area. Unfortunately, however, many euro banks are in lousy shape. They suffer […]
Italy and the Repricing of European Government Debt
ITALY AND THE REPRICING OF EUROPEAN GOVERNMENT DEBT The yield spread between 10yr BTPs and Bunds widened 114bp in May Populist and anti-EU politics were the catalyst for this repricing of risk Spain, Portugal and Greece all saw yields increase as Bund yields declined The ECB policy of OMT should help to avoid a repeat […]
China is in Trouble
CHINA IS IN TROUBLE Before we discuss the economic situation of China, a few words about China’s strongman, Xi Jinping. The “new Chinese emperor” has engineered a meteoric rise. He started off as simple rural laborer but is now the most powerful Chinese president since Deng Xiaoping. Such a career path requires strength, tact, and […]
James Madison’s Essay on Money
JAMES MADISON’S ESSAY ON MONEY The following is by James Madison, the primary author of the US Constitution and fourth president. For those who wish to get a further view on this, here is a paper from the Cleveland Fed on Madison’s essay: https://www.clevelandfed.org/newsroom-and-events/publications/discontinued-publications/economic-review/1998-economic-review/er-1998q1-james-madisons-monetary-economics.aspx Money Observations written posterior to the circular Address of Congress in Sept. […]
