Over at Marginal Revolution, Tyler Cowen provides the world with a couple of useful posts: His views on the credit crisis (here), A couple of outlines of the crisis (here) – the first outline (here) is top notch and easy to understand. I still feel that the main area where government intervention could be beneficial […]
The Dom Post had a good editorial today – it can be found here. (ht the Hive) While most economists out there appear to be turning to sensationalist comparisons of today to the Great Depression, the Dom Post has written a balanced editorial that captures how the ramifications in the credit market may impact us […]
I have spent so much time blabbing about asymmetric information without every explaining what I meant. As a result I feel that everyone deserves a little explanation. Thanks goes out to Akerlof and the lemons hypothesis.
National Bank consumer confidence has come out and (August here): First positive result since May 2002. Own-activity expectations are rising. Capacity utilization is climbing. Profitability is climbing as cost pressures have eased. Employment intentions have improved (consistent with returning capacity pressures). Inflation expectations are still high – but the fall in cost growth has pushed […]
Tax cuts are coming tomorrow, there is excitement in the air. First tax cut after a decade of effective tax rate increases (through fiscal drag). And what an interesting time for it, as we go through the largest financial crisis since the Great Depression. Still don’t forget that there are tax cut calculators available here […]
Matt McCarten was someone I enjoyed listening to when I was a young Alliance supporter many years ago – however, even in the heyday of teenage communist sympathies I would not have agreed with his conclusion that the recent credit crisis is undeniable evidence that voluntary trade does not work. Now Kiwiblog and Anti-dismal have […]