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.
Taylor Swift, Politics, and the Value of Friendship
“During the silly season of presidential elections, which often brings out the worst in us, it’s important to remember that true friendship is worth more than political pride.” ~Jon Miltimore
How to Really End ESG
“It’s incumbent upon ESG critics to advocate an alternative vision, not merely to fall in line with convention.” ~Russell Greene
Tariffs ‘Protect’ Insiders, While Americans Pay the Price
“The best way to address unfair trade practices is not through blanket tariffs but by expanding trade with allies and non-hostile nations.” ~Vance Ginn
From ‘Taxachusetts’ to ‘City Upon a Hill’
“Tax and spending reform takes more than ‘electing the right people.’ It must be politically profitable for the wrong people to make the right choices.” ~Thomas Savidge
Selling a House in Jersey: a Personal Story of Transaction Costs
“Sellers see fewer dollars from their sales while dealing with time-consuming headaches. Buyers see higher home prices.” ~Paul Mueller
AIER’s Everyday Price Index Eases Marginally in August 2024
“Inflation in the United States will end 2024 above the Fed’s target range.” ~Peter C. Earle
Moderate Inflation Affirms Fed’s Path to Easing
“The Fed should ignore the political noise and follow the data. Central bankers failed to curb inflation, but that doesn’t mean they should deliberately make the opposite mistake now.” ~Alexander W. Salter
Unity in Disunity
“When ‘unity’ means government policies will substitute for choices we would make for ourselves, it means domination, even though we do not want to be dominated.” ~Gary Galles
Remembering the Truly Forgotten
“Money and finance are the font and essence of modernity. I honor and praise the memory of the professionals who worked in the World Trade Center.” ~Peter C. Earle
Overhaul for the Uninsured?
“Full reliance on a public budgeting system for providing access to medical care is a certain prescription for millions of disappointed patients.” ~James C. Capretta
Kroger Invests $1B in Antitrust Defense
“Consumers would be better served if companies could spend more time on improving their services and less on fending off litigation.” ~Noah C. Gould
Lose the Political Informality
“Politicians’ first-name basis… is a mercenary maneuver to gain our confidence on the cheap. It is literally a con game.” ~Donald J. Boudreaux
Harris’s ‘Joy’ Would Cost US Dearly
“Economists have a duty to point out just how destructive these proposals are.” ~Alexander W. Salter
Tax Cryptocurrencies as Money, Not Property
“Treating cryptocurrencies like property for tax purposes discourages people from using them like monies.” ~Gerald Dwyer
The Fed’s Balance Sheet Feeds Bailout Culture
“It appears that Fed officials came to believe that they had the authority and power to do whatever they deem necessary to ‘fix’ the economy.” ~Paul Mueller
‘Reagan’ Biopic Fails the Man and the Moviegoer
“Those who have longed for a satisfactory depiction of Reagan’s made-for-the-movies life will have to keep waiting.” ~Jack Butler
College Football’s Lesson About Political Economy
“College football fandom is a microcosm of the problem of a political economy. It shows that people are willing to pay a price to make their enemies suffer.” ~Art Carden
Is America’s Cultural Glue Weakening?
“Not so long ago in America it was considered rude to ask anyone other than one’s inner social circle which positive moral actions they undertook. But it now happens every second of every day.” ~David Rose
‘Am I a Racist?’ Packs a Potent Political Punch: Ridicule
“‘Am I a Racist?’ isn’t just brilliant. It’s funny — and that’s more important.” ~Jon Miltimore
Wealth Inequality Is a Result of Prosperity
“Wealth inequality does seem to be growing, but wealth is growing for the bottom 50 percent too, not just the top.” ~Jason Sorens
Principles are the Antidote to Politics
“Jefferson understood that those who cannot even control themselves should hardly seek to control others.” ~Barry Brownstein
Business Conditions Monthly July 2024
“The key question, moving forward, is whether the Federal Reserve’s shift to accommodation will be sufficient to counteract the emerging signs of economic contraction.” ~Peter C. Earle
Destroying Creative Destruction: Volkswagen, Germany, and the Will to Power
“Bureaucratic sclerosis displays its own cycles of creative destruction.” ~Paul Schwennesen
Organ Shortage: Two Ways to Boost Supply
“Every now and then we encounter a problem that does have a solution. The kidney shortage is one of these problems.” ~Don Boudreaux
Biden-Harris Magical Labor Market Claims
“Damage to real wages began with Biden’s ‘Day One’ energy and regulatory Executive Orders, which reduced productivity and real GDP.” ~John Tatom
Alfred Marshall’s Scissors
“There is simply no necessary relationship between cost and price.” ~Michael Munger
Ford’s Massive Retreat From EVs, Explained
“The costs of listening to industry experts and politicians in Washington instead of consumers — and profits — have been severe.” ~Jon Miltimore
In Policy, Vagueness is No Virtue
“Vagueness virtually ensures bad policies, if advancing Americans’ well-being —rather than party power — is the criterion.” ~Vincent Geloso
The Supreme Court Reshuffles the Regulatory Deck
“The protections afforded by Loper Bright make for settled expectations that better conform to everyday notions of fairness.” ~Dan Greenberg and David McFadden
Artificial Intelligence: Our Days (Probably) Aren’t Numbered
“Releasing labor from areas where machines have taken over has created many new possibilities.” ~Art Carden
Fed Rate Cuts Are Unlikely to Goose the Stock Market or Prevent a Recession
“Rate cuts based on hindsight instead of foresight can confirm a recession but can’t prevent it.” ~Richard Salsman
Fed Rate Cuts: Better Late than Never
“A 50 basis point cut in its federal funds rate target on Wednesday marks a reversal at the Fed.” ~William J. Luther
More Human Capital Requires More Economic Freedom
“Freer economies are able to make human capital (and self-improvement) more enticing for workers.” ~Vincent Geloso
The Dangerous Reinterpretation of Freedom
“When freedom from coercion is no longer a shared societal goal, history teaches that unimaginable horrors can be just around the corner.” ~Barry Brownstein
Break Out of Bad Therapy: Gen Z’s Road to Resilience
“A confused society cannot coalesce upon what a ‘fact’ even is, much less a vision of the common good.” ~Katelyn Shelton
Ten Lessons of the Economic Way of Thinking
“Humans do not obtain god-like knowledge, wisdom, or goodness by acting politically.” ~Donald J. Boudreaux