May 2014 Payroll Employment
After 76 months, we finally got back to the prerecession level of payroll employment.
Click on the image to get a bigger version.
The best summary of the state of our economy is the graph (below) of employment as a fraction of population for people over 16 years old. The decrease is large, but the most troubling feature of the graph is the flat trend .
Donald Marron likes European interest rates. Click on the image to get a bigger version. Can you find three distinct subperiods?
Brad DeLong favors the U.S. gdp gap.
Money Supply M1 growth is now over 20% per year over a 12 month lag. M1 growth has touched 20% before, but not with excess reserves of $1.6 trillion. Where is M1 headed?
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The Classic Economic Models cover micro, macro, and financial markets.
"Helping to Simplify Economics”
Readers question: Why does Hollywood make so many superheroes movies nowadays? What can be the economics behind it?
I’m not really a movie goer. I think the last Superhero move I watched was the original Superman back in the days when Coal ...
An economic good is a good or service that has a benefit (utility) to society. Also economic goods have a degree of scarcity and therefore an opportunity cost. This is in contrast to a free good (like air, sea ...
Readers Questions: I want to know the economic reason behind:
Summer/Winter vacations in school?
or: Why we have summer/winter vacations in school.
This is an interesting question, especially as I have just finished teaching for the year and begun the long summer ...
On campaign in the early 1800s, Napoleon approached a hostelry on the slopes of Col du Pin Bouchain near Roanne. (BTW: the Col du Pin Bouchain at 759m was the first mountain ever used in the Tour de France in the ...
Readers Question: How do bond spreads affect the value of the Dollar or Euro?
A bond yield refers to the interest payment that you receive from holding the bond yield. If the yield is 4%, you can expect £4 a year from ...
Readers Question: what are the advantages and disadvantages of inflation?
Inflation occurs when there is a sustained increase in the general price level. Traditionally high inflation rates are considered to be damaging to an economy. High inflation creates uncertainty and can wipe ...
Most firms seek to become bigger – increasing sales and market share. Firms can grow through internal expansion, external growth (merger) or diversification into related industries. The motives for increasing in size can include:Greater sales lead to greater profit, making the firm more attractive to shareholders Successful, growing firms are likely ...
Unemployment in many European countries has risen sharply due to the credit crunch and global recession. The worst hit countries include Spain (ES) and Greece (EL), who both have unemployment rates of over 25%. Unemployment rate in the Eurozone area: ...
The rise of UKIP and Euro-scepticism in the UK inspired me to have another look at an old blog post – Benefits of the European Union.
I’ve spent the past four years criticising the economic policy of the EU, and more ...
What policies can a government use to reduce pollution?
Pollution is an example of a negative externality – when producing or consuming a good causes a negative impact on a third party. For example, using a petrol car causes CO2, and other ...