Posts Tagged ‘economic theory’

DIJA up 200 points

November 4, 2010 Comments off

Dow Jones Industrial Average is up 200 points. Why? Republican fiscal policy and certainty promised. That is why.

The Dow Jones Industrial Average (DJIA) rocketed more than 200 points skyward earlier today, blowing past the 11,400 level to hit its highest point since Lehman Brothers filed for bankruptcy on Sept. 15, 2008.

Of course the line in the lamestream media will be that Bernanke is responsible… Essentially this;

The blue chip barometer continues to draw strength from the Fed’s second round of quantitative easing, or QE2, in which the central bank has pledged to buy $600 billion in government bonds.


America will be no more under Obama

October 28, 2010 Comments off

Bernanke wants more action!

October 16, 2010 Comments off

Reuters recently released an article detailing what was said by the Federal Reserve Chairman Ben Bernanke during his talks at the Financial Stability Oversight Council. What the article doesn’t tell you is that these meetings and this oversight council, were happening and created respectively for the H.R.4173 – Dodd-Frank Wall Street Reform and Consumer Protection Act. The bill was passed in the House of Representatives in 2009 and was effectively signed into law July 21, 2010. The Financial Stability Oversight Council (FSOC) also studies and reports on the effects of the regulations by the Consumer Financial Protection Agency (CFPA).

Bernanke warned a prolonged period of high unemployment could choke off the U.S. recovery and that the low level of inflation presented an uncomfortable risk of deflation, a dangerous downward slide in prices.

“There would appear — all else being equal — to be a case for further action,” Bernanke said at a conference sponsored by the Boston Federal Reserve Bank.

With overnight interest rates already close to zero, many economists expect the Fed to launch a fresh round of bond purchases, perhaps on the order of $500 billion, to push borrowing costs lower at its next policy meeting on November 2-3.

Prices for longer-dated U.S. government debt fell after Bernanke’s remarks as investors bet the Fed would be successful in generating more inflation. Stocks were mixed while the dollar briefly hit an eight-month low against the euro.

They Think Big Thoughts?

October 11, 2010 Comments off

Big Government posted the Ricochet podcast, entitled “The Brain Sandwich”. I was surprised that Rich Lowry didn’t sound Conservative and David Brooks I could do without. Peter Robinson, want’s to be pro immigration and doesn’t see the established path for citizenship for the pass several decades. That is my major beef with this podcast, the immigration portion.

Big brains on the big show this week as Rob Long and Peter Robinson are joined by New York Times columnist David Brooks and National Review Editor-In-Chief Rich Lowry. They think big thoughts about entitlements, the Bush tax cuts, Chris Christie, Mitch Daniels, Bob Gates for president, potential democratic challengers, and whether infidelity is the root of all social evil.

I will not buy the argument that illegals do our jobs so therefore we shouldn’t press the border issue to hard because the benefit of having illegals work outweighs the cost of securing our border. Is this, or is this not America? What is this dolt talking about? He would rather not enforce laws because Latinos work at jobs? I tell you what, you start eliminating the illegal presence within jobs that actual Americans may utilize, I think the economy would show significant gain.

You pass then enforce the Arizona immigration law federally, as it mirrors federal law to its core. Then as this nation-wide application of already established law begins, especially in California as the podcast specifies, then the expiring of extended unemployment benefits may coincide. In this way, Americans are given the choice of work, or no money. I would think Americans would choose the work the illegals who were either deported because of felony, or stay due to comprehensive work programs left over by Americans who will not occupy the positions.

This is obviously a start and a rough sketch of principles necessary for enforcement through law. None of the individuals on the Ricochet podcast even glanced at any possibility. Where the result is an overwhelming of traditional values and institutions, namely LAW! I mean come on, this is basic, nobody used it as a counter-argument, there was no critical thinking or debate to challenge little ideas and make them into truly big ones.

Where is the discussion of such sensible policies that I have laid out, if not in specificity then in principle? Ummm, nowhere!

Why science as we know it is corrupted!

October 9, 2010 Comments off

Despite the whole ClimateGate fiasco, the research-peer-review-grants and then research-peer-review-grants cycle has continued since the beginning of the 1900’s within the US government. The US government modeled research after governments special interests. Since then this fabric has only been woven tighter, not only within the US but also the the rest of the world.

The UK especially is having trouble, as about 2000 supporters of research, and UK scientists protested the government because of, you guessed it, cuts in money for research

“We want to send a message to the Treasury. Cutting spending on science would actually be shooting ourselves in the foot, because science, technology and innovation fuel the economy,” said Jenny Rohn, spokeswoman for the Science is Vital campaign.ref

Umm, no sir, jobs within those fields of science actually fuel the economy. These damn intellectuals don’t even know the need for specificity if it hit them on the head. If only talking about scientific fields and the reliance upon government alone, then that is enough to eliminate any notion of job creation. Why don’t these public scientific institutions and labs, go to the private citizen of the UK and let them invest. I like the concept of a marketplace of ideas, allow a market to form, based on public interest absent of government involvement. Allow the scientific institutions to get start-up money like any other small business venture, and then let them research a product, or bring an already established idea into the public by way of making it a product. Let the scientific institutions accumulate money based on a diffused market, rather then centralized dictation from a government.

It seems jobs would create around the fields with the most promise. Instead of jobs being created to research science by money taxed by people who may or may not think the science being practiced is ethical. People of all income brackets would/could invest and indeed if the money was followed by an already completely transparent process, then an individual can determine which fields of scientific research are promising and able to hold to a predictable outcome for private investment. There also needs to be a shift from short-term results to long-term results. We invest in now to see results in the future, not always the close future either. Science and its manifested research as a marketable product based application within the marketplace can help determine this shift needed, but ONLY if the government steps back and allows it to happen.

The Age of Discovery and Globalization

October 9, 2010 Comments off

The Age of Discovery (15th-17th century) is dominated by the European peoples, specifically Spain and Portugal under the British Empire, extensive use of the waters to explore and map out the known world. In turn this introduced a scale of interaction between large swaths of land, ruled by opposing empires, never before contemplated. The Eurasian and African continents, for example, engaged in abundant trade of culture and peoples with the New World, raising the involved partners standard of living to new heights.ref During the time of this European naval expansion saw the rise of modern nation states which helped distribute influence and supplant fertile ground for diverse cultures. A foreign policy embodied in a civilization, that can be called proto-globalization, extirpates local and regional differences across the globe homogenizing human societies toward a common path of modernity.

During the 18th, 19th and 20th Century Western civilization or the West referring to North America and Europe (more specifically Western Europe) is a consistently integrated path of modernism that forms many geopolitical influences. Cornerstones of civilization such as culture, how society is corrected by law, religion coincide through political philosophy and with an economic history of proto-globalization within the West, led to an exportation of western modernism. Applied with varying degrees, for better or worse, is seen by most across the world as imperialism or colonialism by the British Empire and hegemony by the United States. Nations of the world were literally and essentially given a path that would either be adopted completely, rejected wholeheartedly by a strict brand of their own modernism or stasis, or a hybrid system was pursued accepting Western wealth through economic globalization but for the support of their own identity in regional traditional culture and posture in the world upon the international stage. With support for only specific elements of Western civilization, namely economic proto-globalization, many nations map out a hybrid system for their own internal domestic politics in ways which are consistent with its societies heritage of culture. Subtly during the 20th and 21st centuries industrial modernism through the Western civilization template, has been pushed back significantly and continues to be challenged by many, now modernized and sufficiently culturally assertive, non-West nation states.

A very good book to read on this topic is: The Clash of Civilizations And The Remaking of World Order By Samuel P. Huntingtonref

Liberalism – what is it? Part 3 of 3

October 8, 2010 Comments off

Part 1 can be found here: ref
Part 2 can be found here: ref

Progressive Liberal
Generally someone who supports a progressive or essentially social approach towards the economics of new liberalism. Progressive reform policies are presented within the U.S. Presidential administrations of Theodore Roosevelt, Woodrow Wilson considered a leading intellectual of the progressive movement, Franklin Delano Roosevelt, and Lyndon Baines Johnson. Progressive liberalism applied nationally through domestic federal government activism is considered the only way of amelioration for social inequalities. Progressive liberalism has also been called “revisionist,” “modern liberalism,” or a, “welfare state mentality” and is seen as the force behind the implementation of “social justice.”

Contemporary progressive arguments are also found in the gambit of controversial issues. A type of interpretation is used by judges said to be judicial activists by its stance counter to that of an originalist perspective toward the Constitution. Progressive liberals attempt to empower the national government by international integration, neglecting sovereignty, heavy domestic corporate and individual taxation supporting social trends such as abortion, gay marriage and generally the legalization of (again through taxing) marijuana.