by Dan Mitchell | Jan 26, 2013 | Blogs, Economics, Keynesian
Back in 2010, I shared a remarkable graph comparing the predictions of economists to what actually happened. Not surprisingly, the two lines don’t exactly overlap, which explains the old joke that economists have correctly predicted nine of the last five recessions....
by Dan Mitchell | Jan 25, 2013 | Big Government, Blogs, Economics, Welfare and Entitlements
If you don’t want to be depressed, you should stop reading right now. You probably know that we’ve been suffering because of a rising burden of government spending. And you probably understand that much of the problem is the relentless growth of redistribution and...
by Dan Mitchell | Jan 23, 2013 | Big Government, Blogs, Economics, Government Spending
Just like in the United States, politicians in the United Kingdom use the deceptive practice of “baseline budgeting” as part of fiscal policy. This means the politicians can increase spending, but simultaneously claim they are cutting spending because the budget could...
by Dan Mitchell | Jan 22, 2013 | Blogs, Economics, Laffer Curve, Taxation
I’ve already condemned the foolish people of California for approving a referendum to raise the state’s top tax rate to 13.3 percent. This impulsive and misguided exercise in class warfare surely will backfire as more and more productive people flee to other states –...
by Dan Mitchell | Jan 19, 2013 | Big Government, Blogs, Economics, Government Spending
In an ideal world, Congress would not raise the debt limit. This would force – automatically and immediately – a balanced budget. More important, it would produce a meaningful reduction in the burden of government spending. And contrary to hyperbole from defenders of...
