Big Government Causes Income Inequality

us gini

Greener means more unequal

I was reading a City Journal article about how Californias rulers are leaving its younger population an awful state of affairs: low wages, limited jobs, expensive housing and other costs. The reasons for this are complex, mostly boiled down to big government, however, one thing stuck out at me: California has a massive income gap. Ironic given how liberals are always jumping and shouting about income inequality and their favorite state is one of the most egregious. I speculated that liberal states would be more unequal, and more conservative states would be more equal.

Continue reading

What is a Pre-Existing Condition?

doctor-with-co-workers-analyzing-an-x-ray_1098-581

Obligatory image of a doctor

As moderates and regular Republicans argue over how soft or hard the Obamacare repeal and replace should be, one of the things almost everyone agrees upon is ensuring that so-called pre-existing conditions should be covered. But what does that even mean? Why do so many people want them covered? What would happen if they werent? And how does it affect the economics of insurance and healthcare?

Continue reading

No, Its Not Time to Break Up Google

225px-google_2015_logo-svgA recent article in the infamous New York Times claims that Google, Facebook, and other tech companies are monopolies “in classic economic terms”. Such a statement is always funny coming from someone guaranteed to be completely ignorant of classic economics. In fact, none of these are monopolies. A monopoly is usually defined as a exclusive control of a good or service in a market. Just about every dictionary I consulted emphasized exclusivity, and sometimes a government grant. Aha!

Continue reading

Do the Rich owe Society anything?

96899-004-c23da93f

Henry Ford

Leftists often claim that successful businesses owe society for all the money they have made. Those capitalist bastards took all our money and gave us nothing in return, right? This, of course, makes absolutely no sense. How did they get that money if not by selling us their products which we wanted? If anything, we got the better deal: a physical good or service in exchange for some paper (or an electronic ledger record these days).

Continue reading

Ecuador Proves the Gold Standard and Free Banking

We are always told that the gold standard is crazy and caused the Great Depression and could never be reinstituted, or that letting people and banks choose the currency themselves is a recipe for economic disaster. That might come as a surprise to Ecuadorians and residents of dozens of other countries from Canada to Zimbabwe.

751px-American_CashIn 2000, Ecuadors currency was on its last rocks, and the government just gave up. It opted to endorse the US dollar and made it legal tender. Since then, Ecuador has done well for itself; it certainly has not done bad. The South American nation has proven a great market for the dollar coins that are less popular in the US. Ecuador produces its own coins that are the same sizes as US coins, which are also accepted. And they are not the only country to have done this. Panama does also, as do East Timor, El Salvador, some Caribbean and Pacific islands, and of course, Zimbabwe. Additional countries do the same with the Euro, the Australian dollar, and other currencies.

Continue reading

Inflating the Dollar Does Not Create Jobs

It must be frustrating to be a Trump supporter. It seems like the entire world is against you. The media has gone from loving a man who bombed a half dozen Muslim countries and stagnated the economy, among other things, to nitpicking a successful businessman who oversaw economic growth the day after being elected. It was not too long ago that Democrats were cheering the stock market and job growth under Obama. Nevermind that most or all of that happened only when Republicans took back Congress. When Trump does the same thing even faster and better, there is utter silence. Have we really come to such a psychologically 1984 world of doublethink? We were always at war with Eastasia or Eurasia or whatever it was.

Continue reading

Ryanair wants to make travel to Israel cheaper

ryanair-svgOne of the biggest problems in Israel is the protectionism, which stifles the Jewish state from becoming a world economic power. Ryanair wants to make travel and trade cheaper for Europeans and Israelis, but El Al isnt too happy about that possibility. The above article is from 2014, however Ryanair is expected to start opening routes this year, but the problem remains in many industries. Israel would benefit greatly from opening up its economy further. A strong, vibrant economy will allow it to retain and attract talent. A strong economy will make aliyah more attractive and yerida unthinkable. And equally important, it will enhance security and international standing by leaps and bounds. B`ezrat Hashem, Israel will get to experience a true free market in our lifetime.

Partisan Shopping: Has it Really Come to This?

new_balance_logo-svgThis recent election more than anything before has caused a partisanization of something as mundane as shopping. Trump supporters are urged to buy from LL Bean, UnderArmour, and New Balance because their CEOs defended Trump. The same supporters are urged to boycott Starbucks, Nordstrom, and Uber because of the decisions of their CEOs or companies. And of course, Trump opponents are urged to do the opposite. Its even gotten to the point where Trump opponents are supposed to boycott Macys and Amazon, despite the fact that Macys cut ties with Trump over a year ago and Jeff Bezos, Amazon CEO, has frequently tussled with Trump and backed the court case against his executive orders. Has it really come to this, that we can no longer just go shopping and pick whatever brand suits are personal tastes and needs?

Continue reading

Agorism in Cuba helps people survive, but is not the solution

konkin cuba

Samuel Edward Konkin III, the founder of Agorism

Its ironic that I am writing this, considering that it was when I read about Agorism* on Wikipedia almost six years ago that I realized free markets were superior to socialism. But there is much more to libertarianism than agorism. Indeed, I take a broad view of the idea to be a bit more inclusive. While I condemn mutualists and many so-called left-libertarians, they are on the right track, unlike communists. Since that time, Ive moved around a bit. I still like Agorism, but my experience shows that it is just not going to be our savior. It might not even play much of a role in rolling back the state.

Continue reading

Collectivist Stagnation

Collectivist Stagnation: A look at how collectivism leads nowhere

Communists and their ilk frequently state the needs for social justice and that the market cannot provide for all the needs of people adequately. They present a string of bleeding heart causes (nevermind that it is the state that causes these hardships) and conclude that socialist forced collectivism must be enacted to accommodate these “needs”. However, history has shown that these various schemes to be abject failures.

Continue reading