Since I’ve been in Washington for nearly three decades, I’m used to foolish demagoguery. But the left’s reaction to corporate inversions takes political rhetoric to a new level of dishonesty. Every study that looks at business taxation reaches the same conclusion,…
Daily Analysis
Debunking the Sloppy and Inaccurate Economic Argument for Export Subsidies
The Export-Import Bank is noxiously corrupt example of crony capitalism. It never should have been created. But that’s something we could say about most government programs. So the real question is how to reverse the damage. If we reform a big program such as…
It Doesn’t Seem Possible, but France Is Going from Bad to Worse
Remember when Paul Krugman warned that there was a plot against France? He asserted that critics wanted to undermine the great success of France’s social model. I agreed with Krugman, at least in the limited sense that there is a plot against France. But I explained…
Europe’s Problem Is Excessive Spending, not Austerity
It’s remarkable to read that European politicians are agitating to spend more money, supposedly to make up for “spending cuts” and austerity. To put it mildly, their Keynesian-based arguments reflect a reality-optional understanding of recent fiscal policy on the…
Australia’s Worrisome Fiscal Drift
I’m in Australia for Consilium, an annual conference which is hosted by the Centre for Independent Studies. I spoke on fiscal policy and pontificated on the need for nations to restrain government spending. That’s an important message (at least in my humble option),…
The Federal Bagpipe Police?!?
I’ve shared horror stories about government thuggery and I’ve shared horror stories about government stupidity. Thanks to Mark Steyn, we have a story that exemplifies both the brain-dead nature of the public sector and the nasty nature of our bureaucratic…
Lower Tax Rates > Targeted Tax Credits
Some folks on the right in Washington, generally known as reformicons (short for reform conservatives), want the Republican Party to de-emphasize marginal tax rate reductions and instead focus on providing tax relief to parents. There are many leaders in this movement…
The Medicare Money Pit of Waste, Fraud, and Abuse
Since I primarily work on fiscal policy, I normally look at the budgetary impact of entitlement programs. And the numbers are very grim. But I’m also an economist, so I periodically comment on how government intervention undermines the efficient functioning of…
Another Victory for the Laffer Curve, this Time over the Lifestyle Puritans
What do cigarettes and capital gains have in common? Well, they both start with the same letter, so maybe the Cookie Monster could incorporate them into his favorite song, but I’m thinking about something else. Specifically, both cigarettes and capital gains tell us…
Secular Stagnation Is the Unwelcome and Predictable Consequence of Bad Policy and Big Government
I shared a chart back in February that shows how long it takes to double GDP based on different growth rates. For instance, if the economy grows only 1 percent per year, it takes 70 years before the economy doubles. Think Italy or some other decrepit European welfare…