Writing in the Wall Street Journal, my Cato Institute colleague Alan Reynolds offers a simple economics lesson about pitfalls of class-warfare tax policy:  …the evidence is clear that when marginal tax rates go up, the amount of reported incomes goes down. Economists call that “the elasticity of taxable income” (ETI), and measure it by examining […]

Tom Palmer of the Altas Network has a very concise – yet quite devastating – video exposing the Keynesian fallacy that the destruction of wealth by calamaties such as earthquakes or terrorism is good for economic growth. Tom cites the work of Bastiat, who sagely observed that, “There is only one difference between a bad […]

I think it is very nice when left-wing groups publish reports that make the case for pro-market policies A recent example is a report from the Center for International Policy, which wants to demonize so-called tax havens, but their report shows that the United States is actually the biggest beneficiary of tax haven policies, with […]

A new video released today by the Center for Freedom and Prosperity Foundation (CF&P) explains why a flat tax would be superior to the internal revenue code.

When Dorothy and her friends finally reach Oz, they present themselves to the almighty Wizard, only to eventually discover that he is just an illusion maintained by a charlatan hiding behind a curtain. This seems eerily akin to the state of Keynesian economics. It does not matter that Keynesianism isn’t working for Obama. It does not matter […]

As usual, Sowell is right on the mark. By expanding the size and burden of government, Obama is making it more difficult for the economy to prosper: President Obama keeps telling us that he is “creating jobs.” But more and more Americans have no jobs. The unemployment rate has declined slightly, but only because many […]

Pulling no punches, Mark Steyn ponders the entitlement-driven collapse of Greece and asks why politicians in America are repeating the same mistakes:  Chapter One (the introduction of unsustainable entitlements) leads eventually to Chapter Twenty (total societal collapse): The Greeks are at Chapter Seventeen or Eighteen. What’s happening in the developed world today isn’t so very […]

A former reporter for the New York Times, Fox Butterfield, became a bit of a laughingstock in the 1990s for publishing a series of articles addressing the supposed quandary of how crime rates could be falling during periods when prison populations were expanding. A number of critics sarcastically explained that crimes rates were falling because […]

Since many of the politicians want America to be more like Europe (including full government-run healthcare), it’s worth contemplating what that would mean for the economy. America today is richer than Europe. Indeed, per-capita living standards are about 30 percent higher in the United States – and that’s according to the statists at the Paris-based […]

There were many reasons to oppose last year’s so-called stimulus legislation. High on my list of reasons would be that the $800 billion spending bill was based on discredited Keynesian theory. Government spending diverts resources from the productive sector of the economy would be another good reason. Another one of my favorites is that the […]