From Wikipedia, the free encyclopedia
Economists study trade, production and consumption decisions, such as those that occur in a traditional
marketplace.
- For a topical guide to this subject, see Outline of economics.
.^ And this suggests something that you would expect a Professor of Economics to know- the consumption pattern looks suspiciously like that of Giffen goods .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ He also wrote on production and distribution, capital, money, and the history of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Thus, Mises presents economics—not as a study of material goods, services, and products—but as a study of human actions.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Topics covered are the history of the relationship between media and the state, media and democracy today, laws governing the media and its practice, legal and political pressures on the media, media as an economic object, ownership of media and its effects, media coverage on elections and in developing countries, competition and truth in the market for news, the current mainstream media, and journalistic ethics.
^ And those who are more effective, including Roemer and fellow Council of Economic Advisers member Austan Goolsbee, sometimes are cut out of the action...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ EXAM GROUP: 16, 17, 18 Discusses several research areas in political economy, including the origins of the state, comparative political systems, theories of economic reform, fiscal problems in democracies, rule of law, privatization, and regulation.
[2]
"... the science which studies human behaviour as a relationship between ends and scarce means which have alternative uses."
[3]
Scarcity means that available
resources are insufficient to satisfy all wants and needs.
.^ "Well, there'd be no problem, because the Bank of Warsaw is insured by the National Bank of Poland."- Economist Jokes 27 January 2010 23:48 UTC netec.wustl.edu [Source type: Original source]
^ Formulate economic problems in computationally tractable form and use techniques from numerical analysis to solve them.
^ The Packing Problem: The Behavioral Economics of Scarcity - (New Course) Catalog Number: 48309 Sendhil Mullainathan Half course (spring term).
The subject thus defined involves the study of
choices as they are affected by incentives and resources.
.^ Keith Chen is doing economic research with monkeys; teaching them how money works .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ In particular, the prize committee lauded his work for “having shown the effects of economies of scale on trade patterns and on the location of economic activity.” .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The World Bank has a comprehensive package on World Cup 2006 and its relation to economics , including an economic analysis of who's gonna win and how the Cup influences economies in the winning/losing countries.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ A massive 3 volume, 3,000 page compendium of nearly every aspect of 19th century American economics and political institutions.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Sirc draws upon his experiences of fighting in the Resistance and the Yugoslav Army, his political opposition and arrest under communism to discuss the economics of socialism and life under communism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ American economics and political institutions.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[8] .^ By Jason Kottke • May 30, 2006 • economics language money science statistics stock market Social, political, economic, cultural, historical, and technological .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Examples will come from many disciplines: economics, education, other social sciences, epidemiology, and biomedical science.
[9][10]
.^ Mises applies his theory of methodological individualism to an analysis of history.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Much of the rest of his life was spent working on an all-encompassing theory of human development based upon the ideas of individualism, utilitarian moral theory, social and biological evolution, limited government, and laissez-faire economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He is known as the founder of the “UCLA tradition” in economics, which emphasizes that individual behavior is self-seeking and rational and that this can have many unanticipated consequences.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ This course addresses applied issues in macroeconomics, especially topics related to inflation and monetary policy.
^ Roles of fiscal and monetary policies.
^ EXAM GROUP: 7, 8 Seminar speakers present papers on macroeconomic topics, including issues relating to monetary and fiscal policies, economic growth, the role of institutions, and other research issues in the field.
History of economic thought
.^ John Bates Clark, American economist, was the first to develop marginal productivity theory, using it to explore the distribution of income between returns to labor and capital in a market economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Brad DeLong on January 04, 2010 at 01:04 PM in Books , Economics , Economics: International Finance , Economics: International Trade , Political Economy .- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ It contains articles by leading economists on basic concepts, economic systems, schools of economic thought, macroeconomics, economic policy, taxes, money and banking, economic regulation, environmental regulation, discrimination, labor issues, international economics, corporations, financial markets, the marketplace, the economics of special markets, economies outside the U.S., and biographies of famous economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[12] .^ One of the first textbooks ever written on the subject, and still eminently readable, with clear organization, definitions and explanations.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The first comprehensive treatise on economics written by a leading member of the modern Austrian school of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The first of many anti-slavery tracts written by the Quaker Thomas Clarkson.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
such as codified amounts of
.^ These missives concern the aspects of Ricardo’s life that surround his character, his amiable and generous nature, his successful business dealings, and his personal relationships.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In The Natural Law of Money, <\/i> William Brough argues forcefully that privately-supplied money offers benefits not offered by government-supplied money.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He had a particular interest in central banks, interest rates, and the money supply.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[13][14] .^ Leube is a historian of economic thought, with an emphasis on Austrian economics, and a scholar of law and economics and economic philosophy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ A history of the so-called “Manchester School” of economic thought which emerged in the 19th century in order to challenge protectionism, especially the corn laws in Britain.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ This work is a summary statement of the nature of economic thought by one of the leading theorists of the English classical school in the mid-19th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Economic thought dates from earlier
Mesopotamian,
Greek,
Roman,
Indian,
Chinese,
Persian and
Arab civilizations. Notable writers include
Aristotle,
Chanakya (also known as Kautilya),
Qin Shi Huang,
Thomas Aquinas and
Ibn Khaldun through to the 14th century.
.^ His clarifications of monetary issues coincided with concurrent national interests in the gold\/silver\/bimetallism parity controversies of the late 1800s, and the meaning of money for an economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He was a member of the “Austrian school of economics”, taught at the London School of Economics, wrote extensively on banking and monetary theory, the socialist calculation debate, and the theory of spontaneous orders.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Interviewer Edward L. Glaeser is Professor of Economics at Harvard University, where he specializes in urban and social economics, law and economics, and microeconomic theory.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[15] .^ By Jason Kottke • Sep 16, 2008 • economics food The McDonald's theory of war .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Say replies to Malthus’s negative views about the impact of population on the well-being of workers, and provides a popularization of his economic views.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He is known as the founder of the “UCLA tradition” in economics, which emphasizes that individual behavior is self-seeking and rational and that this can have many unanticipated consequences.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[17]Nonetheless, recent research indicates that the Indian scholar-philosopher
Chanakya (c.
.^ By Jason Kottke • Nov 20, 2006 • economics energy Global Warming James Surowiecki oil politics Surprising factoid from an article on legalizing .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ EXAM GROUP: 18 Discusses several research areas in political economy, including the origins of the state, comparative political systems, theories of economic reform, fiscal problems in democracies, rule of law, privatization, regulation, and elections and the economy.
^ A 2 volume textbook on classical liberal political economy written by one of the leaders of the French laissez-faire school.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Topics include game theory, economics of information, incentive theory, and welfare economics.
^ Voting theory, social choice, mechanism design, bargaining theory, cooperative game theory, equitable cost allocation, fair division, welfare analysis of taxation, public expenditures and risk bearing.
^ He has developed models that explain observed patterns of trade between countries, as well as what goods are produced where and why.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[23] .^ EXAM GROUP: 12, 13 Comparative economic history emphasizing sources of economic growth and development.
^ Studies the main theories of economic growth and the main potential sources of economic development, from physical capital accumulation, to education, to technology, to the role of government.
^ Instead of looking outside for economic growth, this is a story of internally sourced, created, and most importantly executed growth.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[24]
1638 painting of a French seaport during the heyday of
mercantilism
.^ Her subsequent expositions of economics, among other subjects, were equally inspiring and widely-read.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ There is one encouraging development: an almost ad hoc political action group called Americans for Financial Reform...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ The course will emphasize how these and other historical factors continue to influence development prospects in the region today.
.^ EXAM GROUP: 6, 7 An introduction to formal models of decision making in economics, including both classical and psychologically-motivated approaches.
^ And the political, economic and cultural differences among Asian nations are greater than those within Western Europe.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Examines the emergence of modern economic growth in Europe after 1500, and the forces that led to the great divergence in prosperity in the 19th century.
.^ One of the few historical accounts of the development of the idea of individualism from its origins in the 18th century opposition to mercantilism to the radical individualists of the late 19th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Readings draw on economic theory, empirical analyses, and historical works and literature from the 19th century to the present.
^ His later and better known work in a similar vein was his 2 volume study of the system of economic regulation in the 18th century known as Mercantilism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ His clarifications of monetary issues coincided with concurrent national interests in the gold\/silver\/bimetallism parity controversies of the late 1800s, and the meaning of money for an economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He was ultimately inspired by Smith’s The Nature and Causes of the Wealth of Nations, and, using his background static/in the stock market and his natural incisive ability, actively disagreed with the mercantilist views on gold accumulation and the pricing of gold.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ His clarifications of monetary issues coincided with concurrent national interests in the gold\/silver\/bimetallism parity controversies of the late 1800s, and the meaning of money for an economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The strengthening of the dollar abroad means that American made goods aren't selling and the ships hauling them are unable to leave the port.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ When people demand more money, rather than consumer or investment goods, it increases the demand for labor to mine, move and monetize gold....- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ India, like the United States, uses a “basket of goods” approach to define its poverty threshold.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Their pain was outweighed by the gain to American consumers and manufacturers, who could now order and ship goods essentially free.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ And America's ambient culture is being enriched by foreign imports ranging from soccer to sushi, not to mention energetic Ph.D.'s in material and biological sciences.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[25][26]
.^ One of the twentieth century’s leading thinkers on the relationship between free trade and the economics of developing countries, Lord Peter Thomas Bauer discusses his clear ideas on the effectiveness of government aid and intervention in the Third World.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The English historian of economic thought Higgs discusses iin a series of lectures given at the London School of Economics in 1896 the 18th century free market Physiocratic school, its origins, ideas, political and intellectual influence.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ EXAM GROUP: 6, 7 Financial aspects of growth and income determination in open economies.
.^ His basic point seems to be that Adam Smith was right, though perhaps hardcore free market types today tend to misread Smith as advocating unregulated free markets.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Treatises and Essays on Subjects connected with Economic Policy with Biographical Sketches of Quesnay, Adam Smith & Ricardo .- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ His teaching covered marginal utility, elasticity of demand, production costs, and consumer surplus.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The excise tax on generous insurance plans would simply offset this bias for the most expensive health insurance plans -- and only on a partial basis.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ They cover foreign policy, free trade, the repeal of the corn laws, war, colonial policy, education , and social reform.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ His interests included money and tariff policy, critiques of socialism, social classes, and anti-imperialism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Jacob Viner was an economist who wrote on international trade, tariff policy, commercial treaties, the role of the U.S. international trade, and the history of economic thought.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ A prolific author who was a strong defender of free trade and an advocate of the idea of a single tax on land.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ George believed that a single tax on land would be sufficient to fund government activities.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ George was not just an advocate of the single tax on the unimproved value of land, but also a strong defender of free trade, as this work demonstrates.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Perhaps Henry George’s best known work in which he examines the casuses of poverty and, among other things, blames it on the monopoly of land ownership.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ George believed that a single tax on land would be sufficient to fund government activities.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Thomas Hodgskin, an officer in the British Navy who left and subsequently worked for The Economist, <\/em> was one of the earliest popularizers of economics for audiences of non-economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ He is a consistent advocate of laissez-faire economic policy and limited government.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ A 2 volume textbook on classical liberal political economy written by one of the leaders of the French laissez-faire school.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ While a member of the Senate, he opposed Napoleon, and also spoke out against the subsequent constitutional monarchy, and in support of American-style laissez-faire republicanism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[27][28]
Classical political economy
Publication of
Adam Smith's
The Wealth of Nations in 1776, has been described as "the effective birth of economics as a separate discipline."
[29] The book identified land, labor, and capital as the three factors of production and the major contributors to a nation's wealth.
.^ It contains articles by leading economists on basic concepts, economic systems, schools of economic thought, macroeconomics, economic policy, taxes, money and banking, economic regulation, environmental regulation, discrimination, labor issues, international economics, corporations, financial markets, the marketplace, the economics of special markets, economies outside the U.S., and biographies of famous economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ EXAM GROUP: 18 Discusses several research areas in political economy, including the origins of the state, comparative political systems, theories of economic reform, fiscal problems in democracies, rule of law, privatization, regulation, and elections and the economy.
^ His later and better known work in a similar vein was his 2 volume study of the system of economic regulation in the 18th century known as Mercantilism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Mandeville is a witty satirist who used a poem to make the profound economic point that “private vices” \(or self-interest\) lead to “publick benefits” \(such as orderly social structures like law, language, and markets\).- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ So now the villagers have decided to take the grasp the problem firmly with their own two hands, and are laboring furiously to produce a solution.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The fifth lesson is that not all innovation leads to a more efficient and productive economy - let alone a better society.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Much of the rest of his life was spent working on an all-encompassing theory of human development based upon the ideas of individualism, utilitarian moral theory, social and biological evolution, limited government, and laissez-faire economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In 1912, when Mises, at age thirty-one, wrote this landmark book, no monetary theory could be described as both securely founded on economic reality and properly incorporated into an analysis of the entire economic system.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ One of three seminal works published in 1871 \(along with Walras and Menger\) which introduced the idea of the marginal theory of utility and thus a revolution in economic thinking.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ His basic point seems to be that Adam Smith was right, though perhaps hardcore free market types today tend to misread Smith as advocating unregulated free markets.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Smith also studied the social forces giving rise to competition, trade, and markets.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The economic phrase for which he is most famous, the “invisible hand” of economic incentives, was only one of his many contributions to the modern-day teaching of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ This period saw the development and initial defense of his most influential work On the Principles of Political Economy and Taxation.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ A 2 volume textbook on classical liberal political economy written by one of the leaders of the French laissez-faire school.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Higgs was an English economist who wrote on the history of economic thought \(he rediscovered the importance of Richard Cantillon\) and was the editor of Palgrave’s Dictionary of Political Economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
It included such notables as
Thomas Malthus,
David Ricardo, and
John Stuart Mill writing from about 1770 to 1870.
[30]
.^ In language less difficult than that of Smith, Ricardo, Malthus, and Mill, she illustrates such topics as the economics of wages and income distribution.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ On the Principles of Political Economy and Taxation <\/em> provides analysis of the allocation of money between capitalists, landowners, and agricultural workers in Britain.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The exchange of ideas found within this volume of letters helped shape and refine Ricardo’s thoughts on the allocation of money between capitalists, landowners, and agricultural workers.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Capitalism, on the other hand, thrives because people have a dollar, a dream, and the inability to calculate odds correctly.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Yes, at the peak of the bubble we had three million extra houses between Los Angeles and Albuquerque--capital that would have been more usefully deployed in other forms.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ That finding the point of balance for all these conflicting issues and concerns is very difficult, and keeping the point of balance is almost impossible, is very clear in Kindleberger's "on the one hand...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Big Three continually agreed to deals with the unions that added legacy costs--in exchange for keeping current wages down, and hence [reported] profits up....- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ The taxation of income, capital, imports, consumption goods, etc., and the effects on wages, rents, profits, production, and consumption are major topics, along with the government’s budget constraints.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ His interest in the nature of the firm contributed to Frank H. Knight’s work by clearly describing the factors of production and how to categorize their rewards into wages, rent, and profits.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Malthus cautioned law makers on the effects of poverty reduction policies
.^ There are two versions of Thomas Robert Malthus’s Essay on the Principle of Population.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ It helps explain why the Soviet Union, after decades of state fascism/communism, slid into a living standard higher than that of much of Latin America.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ His views of Thomas Robert Malthus’s writings may have been the source of the popular subsequent mis-association of Carlyle’s 1849 term, the “dismal science,” with Malthus.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ The rapid economic expansion in countries like China, India and Vietnam tends to sharply increase the demand for food.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The Malthusian trap is "a return to subsistence-level conditions as a result of agricultural production being eventually outstripped by growth in population".- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
The force of a rapidly growing population against a limited amount of land meant diminishing returns to labor.
.^ The Malthusian trap is "a return to subsistence-level conditions as a result of agricultural production being eventually outstripped by growth in population".- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
Malthus also questioned the automatic tendency of a
market economy to produce full employment.
.^ He elaborated on ideas from economists as broad-based as Jevons, Böhm-Bawerk, and Clark, and influenced economists from Irving Fisher to John Maynard Keynes to James Buchanan.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ An attempt to decode the sex diaries of noted economist John Maynard Keynes .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ It lay forgotten for over 100 years until Jevons rediscovered it in the late 19th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ John Bates Clark, American economist, was the first to develop marginal productivity theory, using it to explore the distribution of income between returns to labor and capital in a market economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He influenced the thinking of James Mill and his son John Stuart Mill.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ John Elliot Cairnes, Irish economist, Professor of Political Economy at the University of Oxford, was a follower of Ricardo and Mill.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ John Bates Clark, American economist, was the first to develop marginal productivity theory, using it to explore the distribution of income between returns to labor and capital in a market economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Studies the relationship between economic growth, poverty, and income distribution.
^ In language less difficult than that of Smith, Ricardo, Malthus, and Mill, she illustrates such topics as the economics of wages and income distribution.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
The market might be efficient in allocating resources but not in distributing income, he wrote, making it necessary for society to intervene.
Value theory was important in classical theory. Smith wrote that the "real price of every thing ... is the toil and trouble of acquiring it" as influenced by its scarcity.
.^ Big Three continually agreed to deals with the unions that added legacy costs--in exchange for keeping current wages down, and hence [reported] profits up....- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ The taxation of income, capital, imports, consumption goods, etc., and the effects on wages, rents, profits, production, and consumption are major topics, along with the government’s budget constraints.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ His interest in the nature of the firm contributed to Frank H. Knight’s work by clearly describing the factors of production and how to categorize their rewards into wages, rent, and profits.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[31] .^ Presents an introduction to the modern game theory, focusing on its use in economics.
^ It runs as follows; Gujarati economists place faith in the market, while Bengali economists are prone to trust the state.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The Nobel Prize winning economist, James M. Buchanan, discusses in part 1 of a two part conversation, the theory of public choice, his exchange theory of economics, and constitutional thought.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Marxism
The Marxist school of economic thought comes from the work of German economist
Karl Marx.
Marxist (later, Marxian) economics descends from classical economics. It derives from the work of
Karl Marx.
.^ Many of the essays in this volume are published here for the first time.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The second volume of Boehm-Bawerk’s monumental three volume work on Capital and Interest.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ A research seminar for students considering work in economic theory.
[32][33] .^ His discussions of the labor theory of value followed up on David Ricardo and pre-dated John Stuart Mill’s expositions on similar themes.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Neoclassical economics
.^ Alfred Marshall, English economist at the University of Cambridge, reconciled many neoclassical economic concepts and introduced many of the modern terms and diagrams used today by economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Say replies to Malthus’s negative views about the impact of population on the well-being of workers, and provides a popularization of his economic views.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Lalor is best known as the editor of the mammoth three volume cyclopedia of economics and political science which he published in the late 19th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[2]
.^ We argue that the difference in how gasoline costs affect new and used automobile markets can be explained by differences in the supply characteristics of new and used cars.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Focuses on the determinants of growth and income inequality, volatile financial markets, and rapid urbanization.
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Taussig, a professor of economics at Harvard, wrote what has become a classic work on modern trade theory.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The theory of marginal utility and new ways of thinking about marginal value and price theory help found the Austrian School of economics, whose later theorists included Ludwig von Mises and Friedrich Hayek, and Murray Rothbard.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ One of three seminal works published in 1871 \(along with Walras and Menger\) which introduced the idea of the marginal theory of utility and thus a revolution in economic thinking.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[36]
.^ EXAM GROUP: 6, 7 An introduction to formal models of decision making in economics, including both classical and psychologically-motivated approaches.
^ "Michael Lewis talks about the economics of sports -- the financial and decision-making side of baseball and football -- using the insights from his bestselling books on baseball and football: Moneyball and The Blind Side.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Buchanan has devoted himself to the study of the contractural and constitutional basis for the theory of economic and political decision making.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ We argue that the difference in how gasoline costs affect new and used automobile markets can be explained by differences in the supply characteristics of new and used cars.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ His teaching covered marginal utility, elasticity of demand, production costs, and consumer surplus.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ One of Hayek’s most important contributions to economic theory is his demonstration of the part prices play in disseminating widely diffused knowledge about consumer demand and the availablility of economic resources in order to make rational economic calculation possible.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
In
macroeconomics it is reflected in an early and lasting
neoclassical synthesis with Keynesian macroeconomics.
[37][38]
Neoclassical economics is occasionally referred as
orthodox economics whether by its critics or sympathizers.
.^ This is the 8th edition of what is regarded to be the first “modern” economics textbook, leading in various editions from the 19th into the 20th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Or perhaps a long run of good fortune has left the financial market dominated by cockeyed optimists, who have finally figured that out.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ I found a number of such places: Kindleberger's declaration that in the last analysis the making of international economic policy under such circumstances "is an art" and that that "says nothing--and everything."- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Keynesian economics
.^ An attempt to decode the sex diaries of noted economist John Maynard Keynes .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ EXAM GROUP: 18 For students with an interest in economic theory.
^ Emphasis on general methods applicable to both econometrics and economic theory.
[39][40] .^ His work focused on real and nominal interest rates, the marginal productivity of capital, and determinants of the price level.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Focuses on the determinants of growth and income inequality, volatile financial markets, and rapid urbanization.
^ Bush’s assessment for why food prices are higher is econ centered and consequentialist — more demand, relatively static short run supply = higher prices as an emergent property of a world where millions are making independent decisions.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ A withdrawal of government support, combined with high unemployment and rising mortgage foreclosures, could push home prices down 20%, he said...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Alchian has become recognized as one of the most influential voices in the areas of market structure, the theory of the firm, law and economics, resource unemployment, monetary theory and monetary policy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ I found a number of such places: Kindleberger's declaration that in the last analysis the making of international economic policy under such circumstances "is an art" and that that "says nothing--and everything."- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Develops and applies to climate change such economic topics as modeling, externalities, discounting, uncertainty, cost-benefit analysis, dynamics, and other relevant themes.
^ Prerequisite: Both terms of Social Analysis 10 (or equivalent); Statistics 100, 104, or 110; Economics 1010a or 1011a and current enrollment in Economics 1010b or 1011b.
[41][42][43]
Keynesian economics has two successors.
.^ Note: Economics 1011b fulfills the intermediate macroeconomic theory requirement for Economics concentrators.
^ Note: Economics 1010b fulfills the intermediate macroeconomic theory requirement for Economics concentrators.
^ The following phrases seem no connote nothing to such students: "Cambridge Capital Controversy", "Neoclassical Economics", and "Post Keynesian Economics".- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Written toward the end of Mises’s life, his last monograph, The Ultimate Foundation of Economic Science, <\/em> returned to economics as a science based on human action.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ But Gates donates through a personal foundation, rather than through Microsoft itself.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ As a practical matter, I think we must rely on creditors rather than potential debtors to differentiate between wise and unwise loans.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
It is generally associated with the
University of Cambridge and the work of
Joan Robinson.
[44]New-Keynesian economics is also associated with developments in the Keynesian fashion.
.^ As we said back then, for Mutineers Clark is definitely an economist to watch relative to others due to his outsized focus on Indian economic history.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ His use of mathematics and graphical analysis, coupled with a lively writing style, made these tools more accessible to students.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ (The idea that one might write checks to rather than receive checks from universities is now strange to me.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Traditionally, these farmers have sold their rice to local middlemen rather than developing relationships with exporters.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
Chicago School of economics
.^ In his best known work, Self-Help <\/i> he combines Victorian morality with sound free market ideas into moral tales showing the benefits of thrift, hard work, education, perseverance, and a sound moral character.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Lalor is best known as the editor of the mammoth three volume cyclopedia of economics and political science which he published in the late 19th century.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Pigou is best known for his work on welfare economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Mises consistently argues that the solution to government intervention is free markets and free enterprise, which call for reforming government.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The companion volume to A Plea for Liberty <\/em> which continued the argument against the Fabian Socialists and for a policy of strict non-intervention in the economy by the government.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ On monetary policy, Mr Bernanke was true to the word he gave to Milton Friedman on the occasion of his 90th birthday: “Regarding the Great Depression.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[45] .^ In The Natural Law of Money, <\/i> William Brough argues forcefully that privately-supplied money offers benefits not offered by government-supplied money.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ On October 30, 2007, Benn Steil argued that the Federal Reserve needed not to cut but to raise interest rates to avoid an imminent looming inflationary spiral: .- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ On monetary policy, Mr Bernanke was true to the word he gave to Milton Friedman on the occasion of his 90th birthday: “Regarding the Great Depression.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Brad DeLong on January 06, 2010 at 11:21 AM in Economics , Economics: Economists , Economics: Federal Reserve .- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ It has influenced generations of economists, including Milton Friedman, through its charm and clarity.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ On monetary policy, Mr Bernanke was true to the word he gave to Milton Friedman on the occasion of his 90th birthday: “Regarding the Great Depression.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[46]
.^ His basic point seems to be that Adam Smith was right, though perhaps hardcore free market types today tend to misread Smith as advocating unregulated free markets.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The book consists of lectures Cairnes gave to explain the basic principles behind classical economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Thinking like an economist has been a point of pride since Adam Smith.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ The discussion centers around Friedman's assertion that "the social responsibility of business is to increase its profits".- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ I’m sure many readers saw the article in the New York Times on the coming skills gap in the IT sector in India.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Two quick reviews of Elizabeth Currid's book, The Warhol Economy , which argues that New York's "vibrant creative social scene" is what makes the city go.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
(through) open and free competition without deception or fraud.”
[47]
Other schools and approaches
.^ One of the founders of the Austrian School of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He was a supporter of the marginal school of economic thought.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He was a member of the “Austrian school of economics”, taught at the London School of Economics, wrote extensively on banking and monetary theory, the socialist calculation debate, and the theory of spontaneous orders.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ And those who are more effective, including Roemer and fellow Council of Economic Advisers member Austan Goolsbee, sometimes are cut out of the action...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ He was a member of the “Austrian school of economics”, taught at the London School of Economics and the University of Chicago, wrote extensively on banking and monetary theory, the socialist calculation debate, and the theory of spontaneous orders.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Laughlin was head of the University of Chicago Economics Department, founder of its Graduate School of Business, and founder of the Journal of Political Economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Peter Hooper (2009), "Drivers and Drags: US Macroeconomic Setting for 2010," Global Economic Perspectives (New York: Deutsche Bank; December 18) : .- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Overturning classic economic wisdom, new research shows that it's not how much you have that matters, it's how you spend it.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Despite the neoclassicals admitting that the Post-Keynesians were right, why has the impact of heterogeneous capital on an economy left out of the macro models?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Correspondingly, in financial systems, risk managers are able to assess their own institutions' exposure, but only on the assumption that the rest of the world obeys certain conditions.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ I find Bangalore to be one of the most exciting places in the world,” says Dan Scheinman, Cisco Systems Inc.’s senior vice-president for corporate development.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[48]
Microeconomics
Main article:
Microeconomics.^ Although governments may presume to set “prices,” it is individuals who, by their actions and choices through competitive bidding for money, products, and services, actually determine “prices”.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In India, the interaction between state regulators and the recently liberalized market is particularly complex: .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
A given market might be for a
product, say fresh corn, or the
services of a factor of production, say bricklaying.
.^ One of Hayek’s most important contributions to economic theory is his demonstration of the part prices play in disseminating widely diffused knowledge about consumer demand and the availablility of economic resources in order to make rational economic calculation possible.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The Application of the Theoretical Apparatus of Supply and Demand to Units of Currency” .- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ We find that a $1 increase in gasoline price changes the market shares of the most and least fuel-efficient quartiles of new cars by +20% and -24%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Galenson demonstrates these differences through analysis of how often artists' works are reproduced in textbooks, auction prices, and museum shows.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
This is broadly termed
supply and demand analysis.
.^ Mandeville is a witty satirist who used a poem to make the profound economic point that “private vices” \(or self-interest\) lead to “publick benefits” \(such as orderly social structures like law, language, and markets\).- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Alchian has become recognized as one of the most influential voices in the areas of market structure, the theory of the firm, law and economics, resource unemployment, monetary theory and monetary policy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ His interest in the way the forces of the market evolve toward an equilibrium without \(and often in opposition to\) government influence runs throughout the book.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ His interest in the way the forces of the market evolve toward an equilibrium without \(and often in opposition to\) government influence runs throughout the book.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ The transition to capitalism entailed a mutually supporting movement across all seven moments.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[49][50]Markets
In
microeconomics, production is the conversion of
inputs into
outputs.
.^ I, Pencil is a 1958 ode to mass production, industrial specialization, commodity economics, and the invisible hand using the manufacture of a simple graphite pencil as an example.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ This law combined with a subsidy for this use has created a flourishing corn market in the United States, but has also diverted agricultural resources from food to fuel.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ In the process, his administration created a new economic sector.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
This can include
manufacturing,
warehousing,
shipping, and
packaging.
.^ In some early work, you wondered why workers in British cotton mills were so much more productive than workers in Indian cotton mills.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ All the others who might have obtained some benefit from the bill refrained for fear of being ostracized....- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ An important lesson in economics & statistics - not all products rise monotonically in consumption or production given increasing incomes & productivity - .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ These groups appear to be reinforcing rather than canceling each other politically even though they are upset about opposite things....- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ "Other studies have shown that unattractive men and women are less likely to be hired, and that they earn less money, than the better-looking.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ There is no need to leave China to see skyscrapers; there are more of them in Shanghai than in New York, and they are newer, taller and bolder.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Production is a process, and as such it occurs through time and space. Because it is a
flow concept, production is measured as a "rate of output per period of time".
.^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ There are three licensed west coast distributors of this fair trade rice , including this supplier of organic basmati rice .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ GDP is defined as the total value of final goods and services produced within a territory during a specified period (or, if not specified, annually, so that “the UK GDP” is the UK’s annual product).- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
Opportunity cost expresses the idea that for every choice, the true
economic cost is the next best opportunity. Choices must be made between desirable yet
mutually exclusive actions.
.^ This is a collection of essays written in the LSE opportunity cost tradition by scholars associated with the London School of Economics between 1937 and 1960.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[52] .^ What cannot be accepted are financial rescue operations that benefit the unworthy and cause losses to other important groups – like taxpayers and wage earners.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Taking the form of a letter to President Bush, the article explores the opportunity costs of the war and then offers the real reason why the war has been disastrous: .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ But each time the United States tries to do so and fails to restore order, it incurs a high -- albeit unseen -- opportunity cost in the future.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Possible inputs are typically grouped into six categories.
.^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Thus, Mises presents economics—not as a study of material goods, services, and products—but as a study of human actions.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Another factor is that northern Mexican norms are (partially) geared to support American multinationals and these norms have spread more generally, including to Mexican enterprises in the region.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ "These trends do not appear reversible in the short run.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ These ones are designed to run on the thorium fuel cycle.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Examples include major pieces of equipment, suitable factory space, and key personnel.
.^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Examples include electrical power consumption, transportation services, and most raw material inputs. In the "
long-run", all of these factors of production can be adjusted by
management.
.^ There’s no doubt that microfinance does a tremendous amount of good, yet there are also real limits to what it can accomplish.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ One of Hayek’s most important contributions to economic theory is his demonstration of the part prices play in disseminating widely diffused knowledge about consumer demand and the availablility of economic resources in order to make rational economic calculation possible.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Economic efficiency describes how well a system generates the maximum desired output a with a given set of inputs and available
technology.
.^ As more corn gets used for making automotive fuel, that reduces the amount of grain available for food production.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ More and more, "production" -- that word my fellow economists have worked over for generations -- has become interior to the human mind rather than set on a factory floor.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ In other words, the Nobel skipped a generation in the scholarly lineage, something that must really sting.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ To make things worse, it was hot in Amritsar that year, over 100 degrees, and we were in an old house without air conditioning.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Microloans make poor borrowers better off.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Better to “make” beef sacrilegious lest you fall up hard times like these and be without.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Alfred Marshall, English economist at the University of Cambridge, reconciled many neoclassical economic concepts and introduced many of the modern terms and diagrams used today by economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ These aspects of the proposed legislation make it far more likely that health care providers will have the tools and incentives to deliver better health outcomes.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ You see, Bhagwati and Dixit are the scholars whose work immediately preceded Krugman’s, the ones who made Krugman’s (admittedly important) contributions possible.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ When a paper mill dumps dioxin-laden wastes into a river, the paper-making boosts the GDP, but no deduction is made for the costs associated with the water pollution.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
These definitions of efficiency are not exactly equivalent.
.^ A commentor @ Marginal Revolution notes that the “spoilage” rate in the US is 1/10 of this - or nearly 30% more food available en toto for a given amount of production.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
Specialization
Specialization is considered key to economic efficiency because different individuals or countries have different
comparative advantages.
.^ The theory stated that no two countries with McDonald's restaurants would ever go to war with each other.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ He eventually took on some of Smith’s inconsistencies, and in the process developed the role of comparative advantage in international trade.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Least developed countries and small island developing states may undertake actions voluntarily and on the basis of support (from other countries).- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ He has developed models that explain observed patterns of trade between countries, as well as what goods are produced where and why.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Least developed countries and small island developing states may undertake actions voluntarily and on the basis of support (from other countries).- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ My own theory about Indian economists is more specific and hopefully less facetious.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ It's always so weird to see these types of lists where the US has more in common with Third World and non-democratic countries than with Europe, Japan, etc.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Illegal immigrants from India more than doubled in the last five years, the fastest growth of all source countries; and it’s not a trivial number, since India ranks fourth, ahead of China, in total number of illegals.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Chevalier was a Saint-Simonian economist and supporter of free trade.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He worked for the free trade magazine The Economist <\/em> and wrote and lectured on laissez-faire economic ideas to working men’s institutes.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He eventually took on some of Smith’s inconsistencies, and in the process developed the role of comparative advantage in international trade.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
This concept applies to individuals, farms, manufacturers,
service providers, and
economies.
.^ While there are a lot of Indians, those actually qualified to hold these jobs are fewer in number and competition for these workers is increasing: .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ But of course if you’ve got an information processing system that’s conscious, the part where it’s working to the conclusion will seem “gappy” or “open” because it hasn’t gotten there yet.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ If the Great Depression had not happened 80 years before, there may not have been a “natural experiment” to draw upon, and perhaps 2009 might have turned out differently.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[53][54][55]
Adam Smith's
Wealth of Nations (1776) discusses the benefits of the division of labour. Smith noted that an individual should invest a resource, for example, land or labour, so as to earn the highest possible return on it. Consequently, all uses of the resource should yield an equal rate of return (adjusted for the relative riskiness of each enterprise). Otherwise reallocation would result.
.^ He also wrote on production and distribution, capital, money, and the history of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He was a member of the “Austrian school of economics”, taught at the London School of Economics, wrote extensively on banking and monetary theory, the socialist calculation debate, and the theory of spontaneous orders.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Taussig, a professor of economics at Harvard, wrote what has become a classic work on modern trade theory.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
French economist
Turgot had made the same point in 1766.
[56].^ That’s more stuff like finding ways to replicate Brazil’s food production miracle in other countries and bring down prices via the market so even the extremely poor can afford food.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ More and more, "production" -- that word my fellow economists have worked over for generations -- has become interior to the human mind rather than set on a factory floor.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ The low prices they receive often do not cover their costs of production, leaving them unable to repay the loans they need to buy seeds and fertilizer and further impoverishing their families.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
In the process, aggregate output increases as a
by product or by
design.
[57] .^ This creates a positive externality because a user may purchase their phone without intending to create value for other users, but does so in any case.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ An example of one of Hodgskin’s popular lectures to a working class audience, this time on the benefits of free trade.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The more people own telephones, the more valuable the telephone is to each owner.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ His teaching covered marginal utility, elasticity of demand, production costs, and consumer surplus.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[58][59][60]
Supply and demand
.^ His interest in the nature of the firm contributed to Frank H. Knight’s work by clearly describing the factors of production and how to categorize their rewards into wages, rent, and profits.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
The graph depicts an increase (that is, right-shift) in demand from D
1 to D
2 along with the consequent increase in price and quantity required to reach a new equilibrium point on the supply curve (S).
.^ We find that a $1 increase in gasoline price changes the market shares of the most and least fuel-efficient quartiles of new cars by +20% and -24%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ We argue that the difference in how gasoline costs affect new and used automobile markets can be explained by differences in the supply characteristics of new and used cars.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
In
microeconomic theory, it refers to price and output determination in a
perfectly competitive market. This has served as a building block for modeling other market structures and for other theoretical approaches.
.^ "European and United Nations carbon prices fell the most since February after the Copenhagen climate accord didn’t set targets that would boost demand for permits.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ They had it all figured out, showing me on a crude cardboard map where the new facilities would be installed.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ I'm sure banks would have given me all kinds of stupid mortgage loans in 2004, but I didn't avail myself of the opportunity.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ As demand rises, so will the price...no matter what people are using the corn for, be it fuel or food.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ The Fed's economists have traditionally personified the technical, evidence-based, progressive school of economics which holds that individuals are mostly rational, innovation is mostly good, and given sufficient examination and enlightened action, recessions can be avoided.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Prices on typically expensive goods are coming down so that companies can make a play for the disposable income of the world’s vast middle class.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ But as the authors themselves note, "The weak economy is far and away the most prevalent reason given for why the next few months is 'not a good time' to expand."- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
A term for this is 'constrained utility maximization' (with income as the
constraint on demand). Here,
utility refers to the (hypothesized) preference relation for individual consumers.
.^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ In contrast, the same gasoline price increase changes the market shares of the most and least fuel-efficient quartiles of used cars by only +3% and -7%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Competitors are skeptical about the price and quality of the car, which the group says will have a 600-cubic-centimeter engine and come in a range of models.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Laughlin brought his interest in monetary systems and the practical workings of free markets to general academic attention in the United States.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ This law combined with a subsidy for this use has created a flourishing corn market in the United States, but has also diverted agricultural resources from food to fuel.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The other half is the imperative, in the biggest markets for Chinese exports, that demands ever-lower prices for everything .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ An opportunity, in other words, for people to see their president fighting hard.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Between $20-40,000 per year , those subsidies are less available, which makes it difficult for people to cross the gap between one and the other.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Lots of new people buy the stock of a company just added to the index and the stock sale would make that inventory available.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ An indicator based on the theory that a consumer turns to less expensive indulgences, such as lipstick, when she (or he) feels less than confident about the future.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Has the housing downturn had a more-or-less direct effect on the rising price of milk ?- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ The taxation of income, capital, imports, consumption goods, etc., and the effects on wages, rents, profits, production, and consumption are major topics, along with the government’s budget constraints.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Other factors can also affect demand; for example an increase in income will shift the demand curve outward relative to the origin, as in the figure.
.^ He has developed models that explain observed patterns of trade between countries, as well as what goods are produced where and why.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
Supply is often represented using a table or graph relating price and quantity supplied. Producers are hypothesized to be profit-maximizers, meaning that they attempt to produce the amount of goods that will bring them the highest profit. Supply is typically represented as a directly proportional relation between price and quantity supplied (other things unchanged).
.^ That means a lot of Indian rice that was once sold domestically is instead sold abroad for higher prices — which in turn drives up domestic prices.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Bush’s assessment for why food prices are higher is econ centered and consequentialist — more demand, relatively static short run supply = higher prices as an emergent property of a world where millions are making independent decisions.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ By Jason Kottke • Jun 30, 2005 • economics eu Europe globalization Ireland With higher rents (and other factors), good .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ What this probably implies is that the increase in share prices today reflects an expectation of higher volumes -- but probably not higher profit margins, which are likely to remain fairly low in the industry...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ For reference, here's what increasing ethanol production has done to the price of corn over the past three months: .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ Chinese A-list women get screwed because they are in high demand (since there is an overall shortage of women), but only have B and C-list men to choose from.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
This pulls the price up.
.^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ A withdrawal of government support, combined with high unemployment and rising mortgage foreclosures, could push home prices down 20%, he said...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Bush’s assessment for why food prices are higher is econ centered and consequentialist — more demand, relatively static short run supply = higher prices as an emergent property of a world where millions are making independent decisions.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ In “The Wal-Mart Effect,” Charles Fishman makes a compelling argument that Wal-Mart’s market power inevitably forces its suppliers to cut corners on quality in order to deliver the lower and lower prices that Wal-Mart demands .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
This is at the intersection of the two curves in the graph above,
market equilibrium.
.^ The theory of marginal utility and new ways of thinking about marginal value and price theory help found the Austrian School of economics, whose later theorists included Ludwig von Mises and Friedrich Hayek, and Murray Rothbard.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Menger, along with Jevons and Walras, published a work in 1871 which revolutionized the way economists viewed value and price theory by introducing innovations in the theory of marginal utility.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ His teaching covered marginal utility, elasticity of demand, production costs, and consumer surplus.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
It measures what the consumer would be prepared to pay for the corresponding unit of the good.
.^ What this probably implies is that the increase in share prices today reflects an expectation of higher volumes -- but probably not higher profit margins, which are likely to remain fairly low in the industry...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ We argue that the difference in how gasoline costs affect new and used automobile markets can be explained by differences in the supply characteristics of new and used cars.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[62]
.^ To waste time modeling heterogeneous capital when you should be modelling the credit channel and the effect of asset deflation on market risk tolerance is, with a high probability, to waste your time.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ We argue that the difference in how gasoline costs affect new and used automobile markets can be explained by differences in the supply characteristics of new and used cars.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Given the level of spending, is the configuration of interest rates and asset prices such that the flow of savings into financial markets matches net uses of funds by businesses seeking to expand?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ She spent her professional life in a variety of research positions and wrote many articles on money, banking, the theory of the firm, economic development, and the labour market.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
for production) and supply of labour (from workers).
.^ Rather, the global demand simply seems to be rising faster than the supply, and many individual nations have been banning rice exports, destabilizing the market.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Thanks to the bulk purchase, the Indian generic manufacturers Cipla and Ranbaxy can sell single-pill tri-therapy drugs at 460 for a whole year’s supply.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ He was very influenced by Jeremy Bentham’s ideas about utilitarianism which he applied to the study of British India, political economy, and electoral reform.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ The taxation of income, capital, imports, consumption goods, etc., and the effects on wages, rents, profits, production, and consumption are major topics, along with the government’s budget constraints.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ (The Demand and Supply of Public Goods) .- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Price and quantity have been described as the most directly observable characteristics of a good produced for the market.
[63] .^ We have to supply each and every store; we have limited quantity to supply…” [ Link ] Because of my blogging duties I knew about this looming crisis before most in the media and public.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ In “The Wal-Mart Effect,” Charles Fishman makes a compelling argument that Wal-Mart’s market power inevitably forces its suppliers to cut corners on quality in order to deliver the lower and lower prices that Wal-Mart demands .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Sirc draws upon his experiences of fighting in the Resistance and the Yugoslav Army, his political opposition and arrest under communism to discuss the economics of socialism and life under communism.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ I found a number of such places: Kindleberger's declaration that in the last analysis the making of international economic policy under such circumstances "is an art" and that that "says nothing--and everything."- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ He served as a member of the President’s Council of Economic Advisors under President Eisenhower and as its Chairman under President Nixon.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[64] .^ To say that demand for food in India is causing increase in global food prices is completely wrong,” Ramesh said.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Bush’s assessment for why food prices are higher is econ centered and consequentialist — more demand, relatively static short run supply = higher prices as an emergent property of a world where millions are making independent decisions.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Longer term (new wealth = increased demand; the argument that got dubya in so much trouble with the Indian Press & Politicians) - .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Alfred Marshall, English economist at the University of Cambridge, reconciled many neoclassical economic concepts and introduced many of the modern terms and diagrams used today by economists.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Still, what well designed systems do is dispel the notion that teachers are just in it for the greater good and - like all other professions - are actually motivated by pocketbook issues as well.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Specifically, Seldon focuses on the varied use of vouchers and the choices people have regarding purchasing or receiving such public services as health care and education.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In all this, the United States used the leverage of having the money exclusively for the global greater good.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Similarly in the field of economics: since its "utilitarian" revolution about a century ago, this discipline has also abandoned its analysis of the objective world and its political, economic productive relations in favor of more introverted, utilitarian and welfare-oriented norms.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ A commentor @ Marginal Revolution notes that the “spoilage” rate in the US is 1/10 of this - or nearly 30% more food available en toto for a given amount of production.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The staff analysis comparing unconventional operations to interest rate cuts suggests more might be needed anyway...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Market failure
Pollution can be a simple example of market failure. If
costs of production are not borne by producers but are by the environment, accident victims or others, then prices are distorted.
.^ The term “over-government” was coined by Seldon and is defined as the failure of governments to govern well, leading the public to avoid government programs in favor of markets.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ By Jason Kottke • May 30, 2006 • economics language money science statistics stock market Social, political, economic, cultural, historical, and technological .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ By Jason Kottke • May 19, 2006 • economics games micropayments secondlife video games Absurd luxury markets..."some khaki pants are .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ It runs as follows; Gujarati economists place faith in the market, while Bengali economists are prone to trust the state.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[66]
.^ New technologies could not be identified and practices without new mental conceptions of the world (including that of the relation to nature and social relations).- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Here's one of the more succinct descriptions I found of the problem that green accounting aims to address: .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ The safety of Chinese-made products is in the news again today, as China’s government announced that a whopping one-fifth of the products on the shelves of Chinese stores were found to be substandard or tainted .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ During one particularly productive month, he made almost US$4000.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ The economic phrase for which he is most famous, the “invisible hand” of economic incentives, was only one of his many contributions to the modern-day teaching of economics.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ A quick study shows that stocks of simply named companies do better than those of more complexly named companies .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ The authors also noted that a prostitute was "more likely to have sex with a police officer than to get officially arrested by one".- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ And Americans do all those things, more than other people.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Smith also studied the social forces giving rise to competition, trade, and markets.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ All written information, provisions, and terms in or on any application, solicitation, contract, or agreement for any credit card account under an open end consumer credit plan, and all written information included in or on any disclosure required under this chapter with respect to any such account, shall appear- .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ I found a number of such places: Kindleberger's declaration that in the last analysis the making of international economic policy under such circumstances "is an art" and that that "says nothing--and everything."- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Considering that there are so many Indians of poker age in this country who thrive in finance, computer science, engineering, and other fields that incorporate math, probability, risk, etc.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[67]
.^ I suppose before we get into any other details about these schools, question #1 is - "so how good are they?"- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ In contrast, the same gasoline price increase changes the market shares of the most and least fuel-efficient quartiles of used cars by only +3% and -7%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ "The cluster effect is the effect of buyers and sellers of a particular good or service congregating in a certain place and hence inducing other buyers and sellers to relocate there as well."- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
Based on
George Akerlof's
Market for Lemons article, the paradigm example is of a dodgy second hand car market.
.^ In this paper we investigate whether consumers have adjusted to gasoline price changes by altering what automobiles they purchase and what prices they pay.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Many will be forced to buy poor-quality insurance they can’t afford to use, with $11,900 in annual out-of-pocket expenses over and above their annual premiums.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ A withdrawal of government support, combined with high unemployment and rising mortgage foreclosures, could push home prices down 20%, he said...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Menger, along with Jevons and Walras, published a work in 1871 which revolutionized the way economists viewed value and price theory by introducing innovations in the theory of marginal utility.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In Whoppernomics terms, Facebook may well be worth the $15 billion that the Microsoft deal suggested, but there are obviously problems for Facebook in thinking about their value in this way.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
Public goods are goods which are undersupplied in a typical market.
.^ You might be able to get someone to part with 10 "junk" friends for $2.40 but could you pay them $22 more to essentially shut down their Facebook account for good?- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Almost all of us, for example, are "loss averse" -- it hurts more to lose £50 than it feels good to win £50.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ This is the argument that the Economist uses for not having bylines--that the institution works better when people write as instantiations of the hive-mind that is the Economist rather than in their own individual personae.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ He has written influential articles on public sector pricing, economic statistics, and cost-benefit analysis, and has taught at the University of Birmingham, the London School of Economics, and Johns Hopkins University.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Somewhere there was a room full of marketers that decided that $2,467 was the exactly right price for this car!- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ This creates a positive externality because a user may purchase their phone without intending to create value for other users, but does so in any case.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ For example, firms with older employees may have higher insurance costs not because their plans are more generous but because the employees themselves are more expensive to insure.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
).
.^ Galenson demonstrates these differences through analysis of how often artists' works are reproduced in textbooks, auction prices, and museum shows.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ This creates a positive externality because a user may purchase their phone without intending to create value for other users, but does so in any case.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ The government, in an effort to keep as much rice as possible at home to quell inflation, has banned exports of nonbasmati rice and adjusted price controls to discourage exports of aromatic basmati rice.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[68] .^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Irving Fisher, you see, focuses on one equilibrium condition: supply-and-demand in the money market.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[69]
.^ In this paper we investigate whether consumers have adjusted to gasoline price changes by altering what automobiles they purchase and what prices they pay.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ As we all recall, it was just a short time ago that Joe Lieberman held the health reform process hostage to some idiosyncratic demands.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Normal monetary policy by altering the quantity of money changes the equilibrium level of spending conditional on the price of liquidity.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
This includes standard analysis of the
business cycle in
macroeconomics.
.^ His interest in the way the forces of the market evolve toward an equilibrium without \(and often in opposition to\) government influence runs throughout the book.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Galenson demonstrates these differences through analysis of how often artists' works are reproduced in textbooks, auction prices, and museum shows.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ Given the level of spending, is the configuration of interest rates and asset prices such that the flow of savings into financial markets matches net uses of funds by businesses seeking to expand?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ The financial crisis-induced collapse of confidence in the neoliberal order--that is, in the presumption that in general one should try to shrink the state because government failures are more pernicious than market failures.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Reliance Industries, the largest publicly traded company in India, reached a market cap of more than $85 billion this week, up from $6.5 billion in January 2003.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ I've wondered for awhile whether Moore's Law didn't have more to do with the economics of the semiconductor industry than with engineering limits.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ It's going to cost much more than that...and for some intense users of the site, the "buyout" amount might be surprisingly high.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ By Jason Kottke • May 19, 2006 • economics games micropayments secondlife video games Absurd luxury markets..."some khaki pants are .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ One of Marcet’s earlier efforts at popularizing free market economic ideas for ordinary working people.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ One of the leading free market theorists of economic development in the “Third World”.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Much
environmental economics concerns externalities or "
public bads".
.^ The United States needs a more honest immigration policy, one that includes neither support for law-breaking nor animus toward immigrants, and as long as employers win on the cost benefit analysis — F x P < S, where F= cost of fines, P= probability of getting caught, and S= saved money from using undocumented labor — we never will have such reforms.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ He writes and speaks on such diverse topics as trade, foreign aid, the International Monetary Fund, and property rights.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ With a group of other late Victorian classical liberals he was active in such organizations as the Personal Rights and Self-Help Association and the Liberty and Property Defense League.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[70][71]
Firms
.^ Many investors were lured to the stock market by the bull market that began in the early 1980s and gained force through the 1990s.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ His interest in the way the forces of the market evolve toward an equilibrium without \(and often in opposition to\) government influence runs throughout the book.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Smith also studied the social forces giving rise to competition, trade, and markets.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ They create through the painstaking process of doing, making incremental improvements to their art until they're capable of real masterpiece.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ North ’s Discourses upon Trade <\/i> is one of the earliest attempts to theorize as a whole the workings of a market economy in England.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Although doctors love to tell you that they work out of a sense of seva , and that the quality of care has little to do with the fee structure, it simply isn’t true.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
The most obvious kinds of firms are
corporations,
partnerships and
trusts.
.^ According to a report by research firm ValueNotes, the industry will employ about 24,000 people and earn revenue of $640 million by 2010 .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ The people who get by on less than $2 don’t even qualify as being in poverty , according to the Indian government’s own definition… .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Research shows that the lifetime earnings of graduates who enter the job market during recessions are lower than their boom-time colleagues .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
[72] .^ One has since achieved even greater fame than anticipated.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ A firm with a new technology wants to wait until a boom to implement it because its technology will be quickly copied--its edge is temporary--and it is more profitable to implement when the economy is booming and demand is high than when the economy is not booming and demand is low.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Two thirds of the practices were adopted and the majority seem to have lasted more than the first few months.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ She spent her professional life in a variety of research positions and wrote many articles on money, banking, the theory of the firm, economic development, and the labour market.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Labour markets function through the interaction of workers and employers.
.^ In many ways, it’s a more energetic / invasive version of the goal pursued by “ living wage ” advocates in the US. While our economic interventionalists wish to push incomes higher by raising the cost to employers ( invisible unemployment be damned ), Indian politicians go many steps further, take the nasty employers out of the question altogether, and directly (attempt to) provide 100 days of government employment a year.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ And this suggests something that you would expect a Professor of Economics to know- the consumption pattern looks suspiciously like that of Giffen goods .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Rural India is facing an employment crisis * This is because of the economic policies pursued in the past fifteen years.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
[73]
.^ Alchian has become recognized as one of the most influential voices in the areas of market structure, the theory of the firm, law and economics, resource unemployment, monetary theory and monetary policy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Smith also studied the social forces giving rise to competition, trade, and markets.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Her books include Italy, a Study in Economic Development <\/em> \(1962\) and Central Planning for the Market Economy <\/em> \(1969\).- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[74]
.^ We must set growth limits that will allow the automobile and oil industries to maintain economic stability while conserving our resources and preserving our environment.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Malthus’s contributions to political economics generally concern his bleak forecast that a geometrically growing population would surpass the arithmetically growing capacity of essential natural resources.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ This crash in prices of risky financial assets would not overly concern the rest of us were it not for the havoc that it has wrought on the price system.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
Thus, its focus is on the operation of
financial markets, the pricing of
financial instruments, and the
financial structure of companies.
[75]
.^ The fragments in his Ethics and Politics that economists like Joseph Schumpeter point to are, mostly, concerned with other things than economic analysis.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ In economics and business, a network effect (also called network externality) is the effect that one user of a good or service has on the value of that product to other users.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Managerial Economics & Decisions Sciences (MEDS) .- Econjobmarket 27 January 2010 23:48 UTC bluwiki.com [Source type: Academic]
It draws heavily from quantitative methods such as
operations research and programming and from statistical methods such as
regression analysis in the absence of certainty and perfect knowledge. A unifying theme is the attempt to
optimize business decisions, including unit-cost minimization and profit maximization, given the firm's objectives and constraints imposed by technology and market conditions.
[76][77]
Public sector
.^ Universally respected as one of the founders of the “public choice” school of economics, he is the author of numerous books and hundreds of articles in the areas of public finance, public choice, constitutional economics and economic philosophy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ In the fifth volume of The Collected Works of Arthur Seldon, <\/em> Arthur Seldon uses public choice economics research to support his theory of over-government.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He has written influential articles on public sector pricing, economic statistics, and cost-benefit analysis, and has taught at the University of Birmingham, the London School of Economics, and Johns Hopkins University.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Nobody pays income tax.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ There are only 75,000 to 85,000 people with an income of one million rupees ($22,140) who pay taxes,” Finance Minister P Chidambaram told journalists.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Bill Clinton's administration was largely constrained by a pay-as-you-go law, requiring most tax cuts or program expansions to be offset elsewhere with tax increases and/or spending cuts.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ The problem of incentives in the absence of profits, the free rider problem, the public choice insight about the vested interests of bureaucrats and politicians, the connection between economic liberty and political liberty, were all wittily addressed by Richter, much to the annoyance of his socialist opponents.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ The Nobel Prize winning economist, James M. Buchanan, discusses in part 1 of a two part conversation, the theory of public choice, his exchange theory of economics, and constitutional thought.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Democracy in Deficit <\/em> is one of the early comprehensive attempts to apply the basic principles of public-choice analysis to macroeconomic theory and policy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
[78]
Much of economics is
positive, seeking to describe and predict economic phenomena.
Normative economics seeks to identify what is economically good and bad.
.^ In language less difficult than that of Smith, Ricardo, Malthus, and Mill, she illustrates such topics as the economics of wages and income distribution.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ John Bates Clark, American economist, was the first to develop marginal productivity theory, using it to explore the distribution of income between returns to labor and capital in a market economy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ To view a change in GDP from negative to positive as signifying the end of a depression (by which criterion the Great Depression ended in 1933 and again in 1938) is to misunderstand the utility of GDP as a measure of economic activity...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Micro-credit has proved to be an important liberating force in societies where women in particular have to struggle against repressive social and economic conditions.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ That it afforded a measure of justification to the free activities of the individual capitalist, attracted to it the support of the dominant social force behind authority.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[79]
Macroeconomics
Main article:
MacroeconomicsMacroeconomics examines the economy as a whole to explain broad aggregates and their interactions "top down," that is, using a simplified form of
general-equilibrium theory.
[80] .^ A plot of Japan's Phillips curve ("a historical inverse relation and tradeoff between the rate of unemployment and the rate of inflation in an economy") looks like Japan itself .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ High unemployment rates in many cases—coupled with anemic income growth—are limiting consumption gains.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Given the level of spending, is the configuration of interest rates and asset prices such that the flow of savings into financial markets matches net uses of funds by businesses seeking to expand?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ In the field of monetary and credit policy, precautionary actions to prevent infltionary excesses is bound to have some onerous effects--if it did not it would be ineffective and futile.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ What is striking about the influence of economics is that similar policy responses in the fiscal and monetary areas, and non-responses in relation to competitive devaluations and protectionism, were crafted across the globe...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Let me predict that if we see a double-dip recession in 2010, it won't be accompanied by rising inflationary pressures produced by over-stimulative fiscal and monetary policy.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ We find that a $1 increase in gasoline price changes the market shares of the most and least fuel-efficient quartiles of new cars by +20% and -24%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ In contrast, the same gasoline price increase changes the market shares of the most and least fuel-efficient quartiles of used cars by only +3% and -7%, respectively.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ This is most easily seen using the model of a commodity money system, such as one based on gold.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[81] This has addressed a long-standing concern about inconsistent developments of the same subject.
[82]
.^ Even this seemingly cataclysmic event, he argues, had no real impact on long term American growth.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
.^ Heckscher was a Swedish economist who, along with his student, Bertil Ohlin, explored trade in goods along with the factors of production - labor and capital - used to produce them.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ Wage rates in Bangalore are starting to rise dramatically, and India has bottlenecks in its educational infrastructure that will limit the growth of the labor force.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ It will be from two powerful, long-standing price distortions that have distorted the composition of our labor force and the mix of human capital within it.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
[83][84]
Growth
.^ The rapid economic expansion in countries like China, India and Vietnam tends to sharply increase the demand for food.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Therefore, lipstick sales tend to increase during times of economic uncertainty or a recession.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ For America, this will be a shock: American has not been a normal country for a long, long time...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ But their economies grew at an impressive 8 per cent, whereas ours stayed stuck at 3.5 per cent, also known as the “Hindu” rate of growth.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Whether you average a broad based GDP inflation index over the past year, as I originally suggested, or whether you use core inflation rates, the inflation rate is not less than 1 percent at this time; it is closer to 2 percent, but let’s suppose the Fed takes it as 1 percent.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Well, since 1980, the original 15 members of the European Union saw their real per capita income grow by 58%.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ In this work Malthus argues that there is a disparity between the rate of growth of population \(which increases geometrically\) and the rate of growth of agriculture \(which increases only arithmetically\).- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
These are represented in theoretical and
empirical forms (as in the
neoclassical and
endogenous growth models) and in
growth accounting.
[85][86]
The Business Cycle
Main article:
Business cycleThe economics of a depression were the spur for the creation of "macroeconomics" as a separate discipline field of study.
.^ The General Theory of Employment, Interest and Money : The idea that we can safely neglect the aggregate demand function is fundamental to the Ricardian economics, which underlie what we have been taught for more than a century.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ His contributions to economic theory include important clarifications on the quantity theory of money, the theory of the trade cycle, the integration of monetary theory with economic theory in general, and a demonstration that socialism must fail because it cannot solve the problem of economic calculation.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ He elaborated on ideas from economists as broad-based as Jevons, Böhm-Bawerk, and Clark, and influenced economists from Irving Fisher to John Maynard Keynes to James Buchanan.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ BANGALORE, India — After years of being blamed for job losses in America and elsewhere, India’s high-tech companies and outsourcing firms are going through a downturn of their own.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ One thing I’ve learned is that economic downturns can be boom times for high-end sex workers.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ (This is a good thing—at its worst, it leads to more frictional unemployment as those dreams fade or are restructured.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ He is a consistent advocate of laissez-faire economic policy and limited government.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
^ And those who are more effective, including Roemer and fellow Council of Economic Advisers member Austan Goolsbee, sometimes are cut out of the action...- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ These are important steps toward assuring that health care reform will significantly reduce health care inflation in both the public and private sectors.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ Alchian has become recognized as one of the most influential voices in the areas of market structure, the theory of the firm, law and economics, resource unemployment, monetary theory and monetary policy.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
Over the years, the understanding of the
business cycle has branched into various schools, related to or opposed to Keynesianism.
.^ It runs as follows; Gujarati economists place faith in the market, while Bengali economists are prone to trust the state.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ Despite the neoclassicals admitting that the Post-Keynesians were right, why has the impact of heterogeneous capital on an economy left out of the macro models?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ [Only somebody who knows neither the economics of Ricardo, the writings of Marx, or Samuelson's neoclassical synthesis could possibly write that paragraph with a straight face] .- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
.^ She wants to take a group loan to expand her business and buy new machines because she wants to send her children to good schools to be educated .- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
^ A collection of speeches and articles illustrating the broad range of views of the British classical liberals and free traders of the 19th century known as the Manchester School.- Online Library of Liberty - Economics 27 January 2010 23:48 UTC oll.libertyfund.org [Source type: Academic]
.^ Does holding money really mean that part of the income required for the absorption of the production associated with it is permanently lost, which is what is required to create a permanent state of under-employment?- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Paint me a cynic but the piece takes a simplistic view of 1) what really happens in business or 2) what’s really uniquely desi philosophy or 3) both.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
In contrast, the
New Keynesian school retains the rational expectations assumption, however it assumes a variety of
market failures.
.^ Food economics: adjusted for inflation, the price of a luxury meal in Paris has risen by 216% since 1950, but nonluxury food prices have fallen .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ By Jason Kottke • Feb 17, 2006 • crime economics science People are changing how they spend their .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ By Jason Kottke • May 5, 2009 • 2009 New Yorker Summit conferences economics finance Raising prices and gaining readers .- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
.^ See also an interview in New Scientist , a NY Times op-ed , and a long piece on the Edge site about the black swan idea.- economics (kottke.org) 27 January 2010 23:48 UTC www.kottke.org [Source type: General]
^ Hence the adjustment of equilibrium market shares and prices in response to changes in usage cost varies dramatically between new and used markets.- Grasping Reality with Opposable Thumbs: Economics 27 January 2010 23:48 UTC delong.typepad.com [Source type: FILTERED WITH BAYES]
^ Link ] You run into this problem regularly with government-mandated price caps — the price doesn’t keep pace with real-world costs, and you’re stuck waiting for slow bureaucrats to recognize the new cost structure.- Sepia Mutiny: Economics Archives 27 January 2010 23:48 UTC www.sepiamutiny.com [Source type: General]
Inflation and monetary policy
.
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