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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Bill Hill (who has no Facebook account), after reading this post, asks a sensible question. I’ll paraphrase his question. (Mr. Hill: If I paraphrase mistakenly, do let me know ASAP.)
You [Boudreaux] say that minimum-wage legislation blocks the creation or discovery of economic opportunities that might well, had ...
I challenge anyone to justify, or even to excuse, such an abuse of power. (HT a dear and wise and passionate friend.)
Words normally do not escape me, but I can find none that adequately convey the anger and sense of injustice that course through me when I ...
… is from page 108 of Deirdre McCloskey’s excellent 1990 book, If You’re So Smart: The Narrative of Economic Expertise:
Economics is the science of the post-magical age. Far from being unscientific or hoobla-hoo, it is deeply anti-magical. It keeps telling us that we cannot do it, that magic ...
Here’s a letter to the Wall Street Journal:
Worried that his subjects are getting too good a deal on sugar grown in Mexico - and, hence, that his privileged cronies who grow sugar in the U.S. might have to compete more vigorously - Uncle Sam is pressuring Mexico’s government to force sugar ...
While I believe that no empirical studies of minimum-wage legislation can measure all of the likely negative consequences of such legislation, I also believe that such studies have a sound role to play in the public debate. David Neumark, I.M. Ian Salas, and William Wascher are, in ...
… is from pages 38-39 of Israel Kirzner’s excellent 1985 volume, Discovery and the Capitalist Process (original emphasis):
A good deal of regulation consists in creating barriers to entry. Tariffs, licensing requirements, labor legislation, airline regulation, and bank regulation, for example, do not merely limit numbers in particular markets. These ...
It’s been nearly two years since my most-recent “Cleaned by Capitalism” post. So it’s time for another. This clever device is a now-ubiquitous paper product of human ingenuity that makes our personal lives cleaner, healthier, and more pleasant – in short, less polluted.
… is from pages 56-57 of Roger Koppl’s indispensable 2014 monograph, From Crisis to Confidence: Macroeconomics after the Crash:
It seems to be implicitly assumed that the imperfections that exist in markets do not exist among those who might seek to intervene in markets. Yet it is clear from ...
In this video for Prager University, EconLog’s David Henderson does a splendid job explaining that minimum-wage legislation harms the very people its well-meaning proponents mean to help.
Of course, not all of its proponents are well-meaning. As David explains in a section of ...
… is from page 289 of the 1978 collection, edited by Eric Mack, of Auberon Herbert’s remarkable essays, The Right and Wrong of Compulsion by the State; specifically, it’s from Herbert’s 1906 lecture “Mr. Spencer and the Great Machine”:
Does it mend matters to say that under our system ...