Is the criteria for the model selection its predictive power?
byIn order to make the data “talk,” economists utilize a range of statistical methods that vary from highly complex models to a simple display…
June, 2017
We need profitability, not growth
bySince the Great depression (the 2007/8 one not the 1929 one!) the political and economic mantra chimed from every group be they political, economic…
Economic Ideas: Jean-Baptiste Say and the “Law of Markets”
byWhatever economic freedom we enjoy in the world today is due, to a great extent, to the ideas and efforts of the classical liberals…
The Fed Rate Hike and Gold
byThe Fed Rate Hike and Gold, Report 18 June, 2017 The big news this week comes from the Fed, which announced two things….
BIS 87th Annual Report, 2016/17
byThe BIS 87th Annual Report, 2016/17 was just released. As we might expect, it implicitly provides some criticism of monetary policy over the previous years….
The velocity of money myth
byEffect of changes in money supply on economic activity and prices is a velocity of money. It is alleged that when the velocity…
Bawerk.net: Necessity is the Mother of Invention – Retirees Desperate Reach for Yield
byBen Bernanke’s creativity inspired a generation of economists and central bankers. QE, ZIRP and NIRP established a new class of economics that is mathematically…
by Jeffrey P. Snider: Wealth Paradox Not Effect
byby Jeffrey P. Snider US Household Net Worth rose to a record $94.8 trillion in Q1 2017. According to the Federal Reserve’s Financial Accounts…
Central Bank balance sheet adjustment – a path to enlightenment?
byCentral Bank balance sheet adjustment – a path to enlightenment? The balance sheets of the big four Central Banks reached $18.4bln last month The…
ECOFLASH: Economy may force the Fed to reverse its interest rate stance
byThe Fed hiked interest rates for the second time this year, in a widely expected move on Wednesday June 14. The Federal Reserve’s Open Market…