Bastiat, Hayek, Eurozone

Lynne Kiesling Steve Horwitz has a great post at the LSE blog that provides an introduction to and summary of the Austrian economic theory that’s relevant to macro policy questions, including the current Eurozone crisis. Most people know that Austrian economics provides a critique of the Keynesian policies emphasizing government stimulus spending, but what’s the … More Bastiat, Hayek, Eurozone

Wind power and bird deaths and Frederic Bastiat

Michael Giberson Wind power gets a lot of criticism for contributing to bird deaths. Reports of bird-turbine collisions lead some environmentalists to withhold support from wind power. You sometimes see free market advocates, who otherwise seem not to get much concerned over the effects of economic activity on wildlife, suddenly quite concerned about wind power’s … More Wind power and bird deaths and Frederic Bastiat

Dairy farming, tariffs, and Trump’s “12 billion dollar crutches”

Farming has always been an uncertain business. Weather and the price-taking nature of being small relative to large commodity markets lead to feast or famine. The Trump Trade War and today’s palliative farm subsidies to farmers harmed by Trump’s tariffs¬†combine with pre-existing subsidies to amplify that underlying boom and bust cycle, imposing high costs on … More Dairy farming, tariffs, and Trump’s “12 billion dollar crutches”

US Steel reopening plant and bringing back jobs: CEO on Trump tariffs

The proposed steel tariff will benefit the steel industry. This is what is seen as a consequence of the steel tariff. What is unseen is the higher prices for goods that use steel, the lower quantity demanded of those goods, and the resulting lost jobs in industries like automobile manufacturing and construction. Bastiat’s “What Is … More US Steel reopening plant and bringing back jobs: CEO on Trump tariffs

Should we make it politically profitable for policymakers to do the right thing

Should we make it politically profitable for policymakers to do the right thing, or should we make it less profitable for policymakers to do anything? Abigail Hall, writing a pair of posts for the Independent Institute blog The Beacon, urges liberty-minded people not to get too excited about electing the “right people.” (First post, second) … More Should we make it politically profitable for policymakers to do the right thing

Cochrane on ACA’s unravelling: parallels to electricity

John Cochrane’s commentary in last Thursday’s Wall Street Journal, What To Do When Obamacare Unravels, provides a strong and thoughtful analysis of what a free health care market could look like. In his argument he accomplishes two important tasks: he lays out the extent to which the U.S. health care market is not a free … More Cochrane on ACA’s unravelling: parallels to electricity

Just how “wasteful” are data centers?

Lynne Kiesling You may have seen the article in Sunday’s New York Times on how “wasteful” data centers are — they use large amounts of electricity to enable the level of redundancy required to achieve the degree of reliability and uptime that consumers expect from their Internet activities. I put the word “waste” in quotes … More Just how “wasteful” are data centers?