by Dan Mitchell | May 8, 2015 | Blogs, Economics
In early November of last year, I shared some remarkable data from a groundbreaking study published by the European Central Bank (ECB). The study looking at public sector efficiency (PSE) in developed nations and found that “big governments spend a lot more and...
by Dan Mitchell | May 7, 2015 | Big Government, Blogs, Crime, Economics, Society, Welfare and Entitlements
Let’s revisit the issue of urban unrest, with special attention to the challenges for both entrepreneurs and ordinary citizens. While potential police misconduct may serve as a trigger for riots, the powder keg is already in place because of decades of bad government...
by Dan Mitchell | May 6, 2015 | Big Government, Blogs, Economics, Government Spending, Taxation
I’ve openly stated that there are tax-hiking budget deals that theoretically would be attractive. But notice that “theoretically” is part of that sentence. That’s because in the real world, tax hikes have a poisonous effect on fiscal policy. Instead of being the...
by Dan Mitchell | May 5, 2015 | Big Government, Blogs, Economics, Government Spending, Welfare and Entitlements
Okay, I’ll admit right away that the title of this column is an exaggeration. But if you’re a public policy wonk and you worry about the rising level of government dependency and the erosion of self reliance, then you’ll understand why the chart below, which was...
by Dan Mitchell | May 4, 2015 | Blogs, Economics
The standard argument against an easy-money policy is that it creates distortions in an economy that lead to either rapid increases in the price level, like we endured in the 1970s, or unsustainable asset bubbles, like we experienced last decade. Those arguments are...
