Archive for Mises Daily

The NCAA Racket

ncaa2Mises Daily Tuesday by Andrew Syrios:

The NCAA, a quasi-governmental regulatory cartel, prohibits colleges from paying athletes. So colleges employ a variety of schemes to offer unofficial “pay.” Meanwhile, the NCAA ensures there is no functioning job market for athletes at that level, and no competition to which students might go seeking higher pay.

Before Adam Smith There Was Chydenius

Stockholm, Old CityMises Daily Monday by Gary Galles:

The work of economist Anders Chydenius, which predates Smith’s The Wealth of Nations, provided a radically free-market voice for Scandinavia in the 18th century as Chydenius battled against mercantilists and those who thought government well-suited to plan economies with laws and edicts.

Is Scotland Big Enough To Go it Alone?

scot2Mises Daily Friday by Peter St. Onge:

Some opponents of Scottish secession (and most other secession movements) claim that places like Scotland and Quebec are “too small” to be independent countries. A look at small countries vs. large countries, however, suggests that small countries often perform better economically.

 

How to Make Goods More Expensive: Target Truckers

6877Mises Daily Friday by Salmann A. Khan::

Government management of the trucking industry has brought raising prices for both consumers and producers who depend on trucking.

A New Austrian Textbook for All Economists

college2Mises Daily Thursday:

Randall Holcombe talks about his new textbook on Austrian economics: “The idea was to write a book for people who already know some economics,” Holcombe says. “But even a student who has only taken an introductory economics course will have enough background to understand what is in the book.”

The Economics of American Pickers

6874Mises Daily Wednesday by Joel Poindexter:

The television show American Pickers shows many economic concepts in action, such as comparative advantage and specialization and trade, and it also illustrates numerous Austrian insights such as subjective value and the role of the entrepreneur.

 

Drug Warriors Claim Colorado Going to Pot

6872Mises Daily Tuesday by Mark Thornton:

Drug warriors rely on bad and manipulated data to make the claim that respecting private property rights in Colorado is “terrible public policy.” They fail to make the case, and since they want to tax and imprison people for their pet prohibition project, the burden of proof remains on them.

Ten Reasons to Condemn Inflation

6871Mises Daily Monday, by Andreas Marquart:

Increasing the supply of fiat money, also known as inflation, leads to a myriad of social and economic ills, affecting employment, the family, emotional health, and more.

 

Böhm-Bawerk: Austrian Economist Who Said “No” to Big Government

6851Mises Daily weekend by Richard Ebeling:

To his last, Eugen von Böhm-Bawerk defended reason and the logic of the market against the emotional appeals and faulty reasoning of those who wished to use power and the government to acquire from others what they could not obtain through free competition.

Introducing the Mises Curriculum!

6869Mises Daily Friday:

The 50+ courses in the Mises Curriculum will guide you through Austrian economics, from the action axiom to advanced monetary theory, and through libertarian political philosophy, from the non-aggression principle to advanced libertarian legal theory.

Ron Paul and Mark Spitznagel Talk Freedom, Farming, and the Fed

6870Mises Daily Friday:

Investor Mark Spitznagel and Ron Paul discuss agriculture policy, Wall Street, fiat money, investing, and Ron Paul’s plans for the future.

 

Clean Water, Scarcity, and Market Prices

water2Mises Daily Thursday by Rhett Lloyd:

Many people are willing to donate much money to clean up government-owned lakes and streams and to spend many hours fundraising and complaining about pollution. But suggest to those people they should just pay market prices for access to those same bodies of water, they become indignant.

 

The Unseen Costs of the Minimum Wage

workerMises Daily Thursday by Josh Grossman:

Supporters of minimum wage hikes claim they have little or no effect on employment, the law of demand makes it clear the effects of price controls are very real.

 

Is This the Libertarian Moment?

6865Mises Daily Wednesday by Lew Rockwell:

Political consultants and mainstream reporters are fixated on electoral politics, as if no other form of societal change were conceivable. Meanwhile, the real threat to the established political order is the intellectual movement behind radical free-market libertarianism that continues to grow.

 

Jeff Deist Talks Scottish Secession and the EU with Andy Duncan

scotlandMises Daily Wednesday with Jeff Deist:

Jeff Deist and Andy Duncan discuss the rise of UKIP in England and the upcoming Scottish independence vote.

Austrians, Fractional Reserves, and the Money Multiplier

Dollar jigsaw puzzleMises Daily Tuesday by Robert Batemarco:

Austrian economists have been wrongly accused of many intellectual crimes when it comes to fractional reserve banking. Robert Batemarco adds some clarity to the debate.

 

The Yield Curve and Our Weakened Economy

6859Mises Daily Monday by Frank Shostak:

It’s difficult to envisage a downward-sloping yield curve in an unhampered market economy since this would imply that investors are assigning a higher risk to short-term maturities than long-term maturities. But in today’s economy, an upward- or a downward-sloping yield curve reflects the Fed’s interest rate policies.

 

The Myth of the Unchanging Value of Gold

6858Mises Daily Friday by Joseph Salerno:

Many economics textbooks claim that a function of money is to measure the value of goods. In fact, the value an individual attaches to a given sum of money or to any kind of good (including gold) is based on a subjective judgment and is without physical dimensions.

Rethinking Japan’s “Lost Decades”

6860Mises Daily Friday by Peter St. Onge:

The “Lost Decades” narrative in Japan and the US has kept the drive for more government intervention going for a long time.

Military Spending and Bastiat’s “Unseen”

OrigamiTankEric Phillips’s Mises Daily article  on military spending from 2012 is as timely as ever: 

Military Spending and Bastiat’s “Unseen”

by Eric Phillips

[An army of] a hundred thousand men, costing the taxpayers a hundred million of money, live and bring to the purveyors as much as a hundred million can supply. That is which is seen.

But, a hundred million taken from the pockets of the taxpayers, ceases to maintain these taxpayers and their purveyors as far as a hundred million reaches. This is that which is not seen. Now make your calculations. Add it all up, and tell me what profit there is for the masses?

-Frédéric Bastiat

You will often hear self-styled conservatives say, “I support the free market and a strong national defense.” But if by supporting a “strong national defense” they mean supporting a large and aggressive conventional military — as they almost invariably do — these two positions are mutually exclusive. A military establishment funded by taxation, inflation, and debt is just as destructive to the market economy as a welfare establishment funded by taxation, inflation, and debt. Every dollar spent on the military, just like every dollar spent on the Department of Health and Human Services, is a dollar not spent or invested in the civilian economy. Every person employed by the military or the firms that supply the military with equipment is a person not employed in the civilian economy. And since civilian employment and capital accumulation are the foundations of a prosperous capitalist economy, a conventional military can only exist at the expense of a fully functioning free-market capitalist system.

Pork-seeking congressmen, crank economists, and many laypeople believe that generously funding the conventional military is good for the economy. They point to the factories that manufacture tanks and fighter jets, the ports that build ships and service the navy, and the booming economies that surround military bases. But as Bastiat explained, they err in focusing on only “that which is seen.” They neglect to consider the private-sector jobs and investment projects that do not exist because of the taxes necessary to fund the military. In other words, they miss “that which is not seen.” Economists call these foregone alternative uses opportunity costs. The opportunity cost of funding the military is the sum of what could have been produced if the resources devoted to the defense establishment had not been drained from the private sector.

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