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You will see however that washing machine prices are indeed sticky compared to gold and oil prices, but for reasons you haven't identified. You've, in my opinion, correctly sorted out two factors currently effecting equity prices. But it is not correct to say that a stronger dollar will boost...

I agree in the details you bring up. . Nevertheless as far as i'm concerned CyJackX is not incorrect with regard to the current situation. Did you happen to notice what the market did when the Fed announced a rate increase? Why did the market do that, do you suppose? You, of course, know...

Hayek was opposed to progressive taxes because by taxing people progressively he believed the state was not treating everyone equally. This thinking is clearly wrong however. Brilliant as Hayek was, and despite his several important contributions to modern economics, his reasoning on...

There is innovative thinking here which is good, but I am having trouble understanding the implementation and the consequences. After thinking about this some more, perhaps you could elaborate with a bit more detail.

I think a flat tax is a horrible idea. Hayek thought it was good. It is't! It's a disaster as long as the return on capital is greater than growth in the GDP, which it is.

We are doing some things wrong. But it takes an observant person with the guts to call out "the Emperor has no clothes". But that's not all it takes. It takes the right messenger. We have an abundance of those with guts who call out the right message, but none are yet the right messenger...

I wish I could by you a drink. And thank you. My idea is that one has to know someone personally on "permanent welfare" of one kind or another to really understand the issue in some depth. I think you must have either personal experience or have been very close to it at some point to...

There is no need for there to be a net loss of jobs. This is the great fallacy. Some jobs will disappear but other jobs can replace them. Right now we have millions of good jobs that could be created to tremendous benefit of everyone, but we aren't creating them. It is not because we...

What happens when production rises beyond demand but prices are sticky because of labor contracts?

That you are starting to make some sense to me should worry you. :D Don't the two, production and consumption, have to go hand in hand? I think Keynes told us that in recessions there was excess , unused productive capacity, but insufficient demand. Therefore the logical thing to do was to...

It would seem that the success of either socialism or capitalism depend on thoughtful implementation. It makes no sense to me to conclude that one is good while the other is bad. Successful countries seem to blend the two "isms" with a good measure of both.

Always interested in your posts, though I find myself seldom in agreement with them. This most recent post is an exception however, in that I find myself approximately in 50% agreement. I want to sleep on it. and will perhaps later respond in some detail. The idea of encouraging production...

"It may survive, but it certainly won't "solve everything." Nevertheless, I appreciate your attempt at humor.

Wait a minute! If it is OK to privatize prisons, what's wrong with privatizing welfare? Oops, I think I just figured out the answer to the question! When welfare is government, my workers are sudsidized by you; but if welfare is privatized, I'll have to subsidize my own workers. That would...

What I questioned was your assertion, I think, correct me if I misunderstood, that if the dollar appreciates in value the market should go up. I said that ceteris paribus it should go down; not up. And vice versa. A good example perhaps was recently when the dollar futures (DX) plumetted...

Don't take my comments too seriously, they are a bit on the facetious side. However you may have some of this backwards. A stronger dollar, ceteris paribis, should push the market down; not up, and a weaker dollar vice versa. Of course when, if ever, does ceteris paribis pertain? An of...

Sometimes history can give us the answers to difficult questions about the future. If we look at history in this case we could conclude that the current bull market should last roughly as long as "Trump University." The Rally, as we have seen, is experiencing an enthusiastic beginning in...

If you don't know what a scientific hypothesis is, you should look up the word before commenting. All scientists know the word and what it means in the scientific sense. It has always been the AGW Hypothesis. This is not anything I made up. Everyone in science knows exactly what that means...

That's right. So knowing that the unsustainability of "extremes" could lead to undesirable consequences, it is wise to consider adopting policies that could move a society away from destabilizing extremes.

Interestingly there are only three of the issues brought up where there is complete agreement. One is smoking and health, where the statistics don't leave room for counter argument (that's not true of health and second hand smoke however); a second is the acid rain issue in which cause and...