Economics

"Unicorn Governance: Ever argued public policy with people whose State is in fantasyland?"

Mike Munger nails the core problem of big government advocates.

My friends generally dislike politicians, find democracy messy and distasteful, and object to the brutality and coercive excesses of foreign wars, the war on drugs, and the spying of the NSA. 

But their solution is, without exception, to expand the power of "the State." That seems literally insane to me—a non sequitur of such monstrous proportions that I had trouble taking it seriously.

Related: Peter Gordon, "Not Just the Toadies," refers to some of the relevant literature.


"Larry Summers sits in traffic, has epiphany on regulation"

In the tradition of George McGovern's epiphany trying, after leaving the Senate, to run a business, Mr. Summers is shocked, just shocked by the reality of excessive government.

“How could our society have regressed to the point where a bridge that could be built in less than a year one century ago takes five times as long to repair today?” Summers asks.

 


"Slow Economic Growth: It's the Regulations, Stupid!"

As the kids say today, "Yasssss!"

See also Eugene Fama:

Everybody wants the world to be a better place and some think that government actions can bring that about. But they don’t take into consideration that government actions can often do more harm than good. My view is that the world is just too regulated. There is regulation of everything these days. For instance, it’s too difficult to start a business. The rate of business formation in the US has gone way down and listed companies have declined by 30%. So with less regulation I think you would see growth come back.

And this, from Heritage: "Red Tape Rising 2016: Obama Regs Top $100 Billion Annually".

And this: "What’s Killing Jobs and Stalling the Economy".


"Resurrecting the Interesting Questions"

Professor Karlson wonders "But now, the old worries are back, and when even the University of Chicago has to make do with a chart showing rising concentration of revenues, how long will it be before another concentration-and-profits regression lands in a journal?"

Probably not profits-concentration: they'll just keep publishing price-concentration studies which are just as misguided.