Daily economy news from the American Institute for Economic Research: data, stories, research, and articles touching on economics, politics, culture, education, policy, opinion, technology, markets, healthcare, regulation, trends, and much more.
Inflation Remained Low in June
“Despite the progress made on inflation over the last three months, and the risk of overtightening noted by Waller and Powell, the FOMC is unlikely to cut its federal funds rate target next week.” ~William J. Luther
How Rent-Seeking Wrecks the Soul of Enterprise
“The more the state becomes involved in everyday affairs, the more we move to a rent-seeking society, enabling a power dynamic based on what can be accessed rather than on what can be earned.” ~Kimberlee Josephson
Beware of Conflict Theories of Inflation
“This perspective emphasizes that social conflicts are the central cause of inflationary pressures. The Marxist undertones of CTIs suggest that inflation results from social injustice, implying a moral imperative for government intervention to right the supposed wrongs.” ~Nicolás Cachanosky
The Virtues of Social Market Order: Review of ‘Abundance, Generosity, and the State’
“Goods and services received gratuitously are not the same as those obtained as a right, especially when governments have extorted tax-‘payers’ at the point of a gun.” ~Joakim Book
How Climate Catastrophists at NOAA Mislead without Lying
“When it comes to ‘missing context’ about climate change, official government agencies can be among the worst offenders, not just on social media but also on agency websites.” ~E. Calvin Beisner
Economic Observations of Beach Parking
“The idea of ‘line up!’ is deeply ingrained in most of us, to the point where we are angry if someone ‘cuts’ in line ahead or, for that matter, behind us.” ~Michael Munger
Techno-Tyranny of Gilliam’s ‘Brazil’ is ‘1984’ for 2024
“This movie that routinely appears on ‘best British film’ lists impressed me with its entertainment value, but even more with how relevant its message has become in 2024.” ~Paul McDonnold
On America’s ‘Trade Deficit’ With China
“The negative connotation conveyed by the term ‘trade deficit’ is so very useful to the protectionist cause that protectionists seem to have no interest in getting their — or their audiences’ — thinking straight about this concept.” ~Donald J. Boudreaux
Where Will the New Jobs Come From?
“Technological innovations and falling trade barriers make many people more productive… We use this new wealth to create opportunities in high-skill, medium-skill, and low-skill occupations.” ~Art Carden
Gen Z’s Financial Nihilism
“Not only are Gen Z Americans unprepared to reform our country’s spending programs and revive the nation’s fiscal health, they are also engaging in the very behavior that will undermine their ability to achieve the American Dream.” ~Michael Peterson
Will SCOTUS Break Big Tobacco’s Grip on Nicotine?
“The FDA’s gatekeeping of e-cigarettes through regulations has drastically reduced the number of legal e-cigarettes to choose from. The FDA so far has only approved devices owned by Big Tobacco.” ~Peter Clark
The Economic Folly of a Carbon Tax
“Increasing production costs leads to higher prices for goods and services, disproportionately affecting low- and middle-income households — especially when they already suffer from high inflation.” ~Vance Ginn
Want to Pay More Tax? You Can
“Congress has also budgeted for $1.7 trillion of deficit spending for the current fiscal year; over 26,000 times as much money as has been donated to the Gifts to Reduce the Public Debt account over the past 29 years combined.” ~David Hebert
Milei’s New Monetary Regime for Argentina
“Despite its controversial nature, full dollarization remains the monetary regime with the most potential for long-term stability in Argentina. It offers a credible pathway to restore confidence and put the country back on a sustainable economic trajectory.” ~Nicolás Cachanosky
GOP Trade Platform Would Penalize Forgotten Americans
“The GOP platform calls for new Buy American restrictions, but this is just warmed-over Bidenomics. The Peterson Institute calculates that Buy American measures cost US taxpayers $94 billion in 2017.” ~Bryan Riley
Biden’s Rent Control Proposal Poses a Real Threat to Renters and Housing Providers
“Because rent control will become part of the tax code, Democrats will be able to use the budget reconciliation process to enact it into law. That allows them to skirt the filibuster.” ~Jason Sorens
Civil Discourse and Political Reality
“It is one thing to dislike someone’s policies and argue against them in a civil discourse, discussing the merits and consequences of their proposals. But there is no place to demonize and so diminish the character of a candidate.” ~Will Sellers
Investors are Not to Blame for the Priciest Housing in History
“As of Q1 2024, investor purchases are below levels experienced seven years ago. As it turns out, rising interest rates impact the ability of investors to deploy capital profitably, just as this environment makes it difficult for families to acquire a home.” ~Joel Griffith
Inflation Remained Low in June
“Despite the progress made on inflation over the last three months, and the risk of overtightening noted by Waller and Powell, the FOMC is unlikely to cut its federal funds rate target next week.” ~William J. Luther
How Rent-Seeking Wrecks the Soul of Enterprise
“The more the state becomes involved in everyday affairs, the more we move to a rent-seeking society, enabling a power dynamic based on what can be accessed rather than on what can be earned.” ~Kimberlee Josephson
Beware of Conflict Theories of Inflation
“This perspective emphasizes that social conflicts are the central cause of inflationary pressures. The Marxist undertones of CTIs suggest that inflation results from social injustice, implying a moral imperative for government intervention to right the supposed wrongs.” ~Nicolás Cachanosky
The Virtues of Social Market Order: Review of ‘Abundance, Generosity, and the State’
“Goods and services received gratuitously are not the same as those obtained as a right, especially when governments have extorted tax-‘payers’ at the point of a gun.” ~Joakim Book
How Climate Catastrophists at NOAA Mislead without Lying
“When it comes to ‘missing context’ about climate change, official government agencies can be among the worst offenders, not just on social media but also on agency websites.” ~E. Calvin Beisner
Economic Observations of Beach Parking
“The idea of ‘line up!’ is deeply ingrained in most of us, to the point where we are angry if someone ‘cuts’ in line ahead or, for that matter, behind us.” ~Michael Munger
Techno-Tyranny of Gilliam’s ‘Brazil’ is ‘1984’ for 2024
“This movie that routinely appears on ‘best British film’ lists impressed me with its entertainment value, but even more with how relevant its message has become in 2024.” ~Paul McDonnold
On America’s ‘Trade Deficit’ With China
“The negative connotation conveyed by the term ‘trade deficit’ is so very useful to the protectionist cause that protectionists seem to have no interest in getting their — or their audiences’ — thinking straight about this concept.” ~Donald J. Boudreaux
Where Will the New Jobs Come From?
“Technological innovations and falling trade barriers make many people more productive… We use this new wealth to create opportunities in high-skill, medium-skill, and low-skill occupations.” ~Art Carden
Gen Z’s Financial Nihilism
“Not only are Gen Z Americans unprepared to reform our country’s spending programs and revive the nation’s fiscal health, they are also engaging in the very behavior that will undermine their ability to achieve the American Dream.” ~Michael Peterson
Will SCOTUS Break Big Tobacco’s Grip on Nicotine?
“The FDA’s gatekeeping of e-cigarettes through regulations has drastically reduced the number of legal e-cigarettes to choose from. The FDA so far has only approved devices owned by Big Tobacco.” ~Peter Clark
The Economic Folly of a Carbon Tax
“Increasing production costs leads to higher prices for goods and services, disproportionately affecting low- and middle-income households — especially when they already suffer from high inflation.” ~Vance Ginn
Want to Pay More Tax? You Can
“Congress has also budgeted for $1.7 trillion of deficit spending for the current fiscal year; over 26,000 times as much money as has been donated to the Gifts to Reduce the Public Debt account over the past 29 years combined.” ~David Hebert
Milei’s New Monetary Regime for Argentina
“Despite its controversial nature, full dollarization remains the monetary regime with the most potential for long-term stability in Argentina. It offers a credible pathway to restore confidence and put the country back on a sustainable economic trajectory.” ~Nicolás Cachanosky
GOP Trade Platform Would Penalize Forgotten Americans
“The GOP platform calls for new Buy American restrictions, but this is just warmed-over Bidenomics. The Peterson Institute calculates that Buy American measures cost US taxpayers $94 billion in 2017.” ~Bryan Riley
Biden’s Rent Control Proposal Poses a Real Threat to Renters and Housing Providers
“Because rent control will become part of the tax code, Democrats will be able to use the budget reconciliation process to enact it into law. That allows them to skirt the filibuster.” ~Jason Sorens
Civil Discourse and Political Reality
“It is one thing to dislike someone’s policies and argue against them in a civil discourse, discussing the merits and consequences of their proposals. But there is no place to demonize and so diminish the character of a candidate.” ~Will Sellers
Investors are Not to Blame for the Priciest Housing in History
“As of Q1 2024, investor purchases are below levels experienced seven years ago. As it turns out, rising interest rates impact the ability of investors to deploy capital profitably, just as this environment makes it difficult for families to acquire a home.” ~Joel Griffith