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	<title>Egalicontrarian &#187; Economics</title>
	<atom:link href="http://egalicontrarian.com/index.php/category/economics/feed/" rel="self" type="application/rss+xml" />
	<link>http://egalicontrarian.com</link>
	<description>a blog full of magic</description>
	<lastBuildDate>Mon, 06 Sep 2010 14:58:40 +0000</lastBuildDate>
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		<title>Debating about the economic crisis</title>
		<link>http://egalicontrarian.com/index.php/2010/04/07/debating-about-the-economic-crisis/</link>
		<comments>http://egalicontrarian.com/index.php/2010/04/07/debating-about-the-economic-crisis/#comments</comments>
		<pubDate>Wed, 07 Apr 2010 21:51:11 +0000</pubDate>
		<dc:creator>Joshua Blanchard</dc:creator>
				<category><![CDATA[Book Reviews]]></category>
		<category><![CDATA[Economics]]></category>
		<category><![CDATA[Things I Like]]></category>
		<category><![CDATA[housing bubble]]></category>

		<guid isPermaLink="false">http://egalicontrarian.com/?p=771</guid>
		<description><![CDATA[Here&#8217;s to hoping Brad DeLong and Dean Baker descend into a protracted debate over Baker&#8217;s new and cutely titled book, False Profits. See one positive recent review of the book here.]]></description>
			<content:encoded><![CDATA[<p>Here&#8217;s to hoping <a href="http://delong.typepad.com/sdj/2010/04/i-need-to-review-dean-bakers-false-profits.html" target="_blank">Brad DeLong</a> and <a href="http://www.prospect.org/csnc/blogs/beat_the_press_archive?month=04&amp;year=2010&amp;base_name=response_to_delong_review_of_f" target="_blank">Dean Baker</a> descend into a protracted debate over Baker&#8217;s new and cutely titled book, <em><a href="http://p3books.com/falseprofits/" target="_blank">False Profits</a></em>. See one positive recent review of the book <a href="http://crookedtimber.org/2010/04/03/false-profits-by-dean-baker/" target="_blank">here</a>.</p>
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		<title>Do Brazilians hate freedom?</title>
		<link>http://egalicontrarian.com/index.php/2010/01/31/do-brazilians-hate-freedom/</link>
		<comments>http://egalicontrarian.com/index.php/2010/01/31/do-brazilians-hate-freedom/#comments</comments>
		<pubDate>Sun, 31 Jan 2010 21:58:05 +0000</pubDate>
		<dc:creator>Joshua Blanchard</dc:creator>
				<category><![CDATA[Development Economics]]></category>
		<category><![CDATA[brazil]]></category>
		<category><![CDATA[the economist]]></category>

		<guid isPermaLink="false">http://egalicontrarian.com/?p=545</guid>
		<description><![CDATA[Tyler Cowen links to this article in the Economist, called &#8220;Liberalism in Brazil: The almost-lost cause of freedom.&#8221; The author ponders the mysterious question of why Brazil is so &#8220;socially liberal&#8221; without &#8220;economic liberalism.&#8221; The mystery is deep: &#8220;Government revenue as a share of GDP&#8221; is approaching western European levels , yet candidates don&#8217;t advocate [...]]]></description>
			<content:encoded><![CDATA[<p>Tyler Cowen <a href="http://www.marginalrevolution.com/marginalrevolution/2010/01/assorted-links-25.html" target="_blank">links</a> to this <a href="http://www.economist.com/world/americas/displaystory.cfm?story_id=15393723" target="_blank">article</a> in the Economist, called &#8220;Liberalism in Brazil: The almost-lost cause of freedom.&#8221;</p>
<p>The author ponders the mysterious question of why Brazil is so &#8220;socially liberal&#8221; without &#8220;economic liberalism.&#8221; The mystery is deep: &#8220;Government revenue as a share of GDP&#8221; is approaching western European levels , yet candidates don&#8217;t advocate cutting taxes. The author says the lack of economic liberals is &#8220;even stranger&#8221; given the country&#8217;s history. Sure, he says, Pinochet&#8217;s Chile gave free markets a bad name, but Brazil had a dictatorship involving state planning of the economy and import restrictions. The deduction is clear for those who, like the author, are unencumbered by &#8220;ideology.&#8221;</p>
<p>The mystery doesn&#8217;t last long, and the culprit is typical and revealing: democracy and the poor. Because voting is mandated, majority opinions are actually reflected in policy. The author blames the poor voters, who are uniquely greedy because they pay less taxes and enjoy more government benefits than the rich. Presumably to explain the non-poor voter support for the anti-liberal consensus, the author cites such items as &#8220;anti-Americanism&#8221; and the pesky radicals who resisted the American-installed dictatorship.</p>
<p>The author then relishes in slow movements toward a &#8220;mixed&#8221; European model, hinting that the dark days of majority rule might soon be over.</p>
<p>This article is curious, even only considering the barely-masked hatred and fear of democratic processes and the presumption of neoliberal dogma. The author fails to explain why Brazil&#8217;s system is bad, or why Brazil should follow the more liberalized policies of some of its neighbors. The author fails to consider plausible explanations for Brazil&#8217;s resistance to Washington, such as &#8220;infant industry protection&#8221; arguments.</p>
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		<title>Next bubble</title>
		<link>http://egalicontrarian.com/index.php/2009/12/07/next-bubble/</link>
		<comments>http://egalicontrarian.com/index.php/2009/12/07/next-bubble/#comments</comments>
		<pubDate>Mon, 07 Dec 2009 12:12:59 +0000</pubDate>
		<dc:creator>Joshua Blanchard</dc:creator>
				<category><![CDATA[Economics]]></category>
		<category><![CDATA[Things I Like]]></category>
		<category><![CDATA[Dean Baker]]></category>
		<category><![CDATA[housing bubble]]></category>
		<category><![CDATA[zombies]]></category>

		<guid isPermaLink="false">http://egalicontrarian.com/?p=540</guid>
		<description><![CDATA[Some of you may know that Dean Baker likes to remind his readers that he saw the housing bubble as early as 2002. He brings it up no matter the topic. Anyway, my childhood friend Jason &#8211; who, mind you, has a degree in economics &#8211; has spotted the next bubble. Read about it here. [...]]]></description>
			<content:encoded><![CDATA[<p>Some of you may know that <a href="http://www.prospect.org/csnc/blogs/beat_the_press" target="_blank">Dean Baker</a> likes to remind his readers that he saw the housing bubble as early as <a href="http://www.cepr.net/index.php/publications/reports/the-run-up-in-home-prices-is-it-real-or-is-it-another-bubble/" target="_blank">2002</a>. He brings it up <a href="http://www.huffingtonpost.com/dean-baker/the-economists-who-missed_b_166852.html" target="_blank">no matter the topic</a>.</p>
<p>Anyway, my childhood friend Jason &#8211; who, mind you, has a <em>degree</em> in economics &#8211; has spotted the next bubble. Read about it <a href="http://prestigiousinternet.blogspot.com/2009/12/next-economic-bubble.html" target="_blank">here</a>.</p>
<p>I do however have one question for Jason. An important piece of evidence for the housing bubble was that housing outpaced renting prices, a normally correlative relationship that Wikipedia so aptly calls the <a href="http://en.wikipedia.org/wiki/Housing_bubble#Housing_ownership_and_rent_measures" target="_blank">ownership ratio</a>. I wonder, is there any comparable analysis for the current bubble? Is this too much to ask without the help of a think tank?</p>
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		<title>Some political links</title>
		<link>http://egalicontrarian.com/index.php/2009/09/13/some-political-links/</link>
		<comments>http://egalicontrarian.com/index.php/2009/09/13/some-political-links/#comments</comments>
		<pubDate>Sun, 13 Sep 2009 23:47:03 +0000</pubDate>
		<dc:creator>Joshua Blanchard</dc:creator>
				<category><![CDATA[Economics]]></category>
		<category><![CDATA[Foreign Policy]]></category>
		<category><![CDATA[Things I Like]]></category>
		<category><![CDATA[afghanistan]]></category>
		<category><![CDATA[cold war]]></category>
		<category><![CDATA[ian williams]]></category>
		<category><![CDATA[kosovo]]></category>
		<category><![CDATA[noam chomsky]]></category>
		<category><![CDATA[serbia]]></category>
		<category><![CDATA[war on terror]]></category>

		<guid isPermaLink="false">http://egalicontrarian.com/?p=373</guid>
		<description><![CDATA[Here is a stimulating exchange between Ian Williams and Noam Chomsky about Chomsky&#8217;s claim that the NATO air raids on Serbia &#8220;precipitated&#8221; the worst atrocities in Kosovo, and that this was not only predictable but in fact predicted in U.S. sources at the time. Who do you think wins? It doesn&#8217;t seem to me that [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://www.chomsky.info/debates/20090803.htm" target="_blank">Here</a> is a stimulating exchange between Ian Williams and Noam Chomsky about Chomsky&#8217;s claim that the NATO air raids on Serbia &#8220;precipitated&#8221; the worst atrocities in Kosovo, and that this was not only predictable but in fact predicted in U.S. sources at the time. Who do you think wins? It doesn&#8217;t seem to me that Williams ever actually counters Chomsky&#8217;s descriptive claim. But it also seems like Chomsky doesn&#8217;t fully justify the <em>utility </em>of his observation &#8211; which is what I would want to question if I were Williams; instead Williams seems to prefer mere fuming.</p>
<p><a href="http://www.fpif.org/fpiftxt/6407" target="_blank">Here</a> is a series of concise criticisms of the in-vogue thinking about U.S. intervention in Afghanistan.</p>
<p><a href="http://www.commondreams.org/view/2009/09/13" target="_blank">This</a> article is amusing because it applies Forbes&#8217; criteria for judging the economic policies of a president to President Bush.</p>
<p><a href="http://www.gwu.edu/~nsarchiv/nukevault/ebb285/index.htm" target="_blank">Recently released interviews</a> with some Soviets show incompatibility between Cold War propaganda and reality. I wonder why the people at the Archive conclude there was an &#8220;intelligence failure.&#8221; Why not suppose, more plausibly, that American foreign policy needed justification? No one knows better than the people at the Archive that this wouldn&#8217;t be without precedent.</p>
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		<title>Links and comments</title>
		<link>http://egalicontrarian.com/index.php/2009/07/19/links-and-comments/</link>
		<comments>http://egalicontrarian.com/index.php/2009/07/19/links-and-comments/#comments</comments>
		<pubDate>Sun, 19 Jul 2009 23:28:51 +0000</pubDate>
		<dc:creator>Joshua Blanchard</dc:creator>
				<category><![CDATA[Development Economics]]></category>
		<category><![CDATA[Foreign Policy]]></category>
		<category><![CDATA[Things I Like]]></category>
		<category><![CDATA[free market]]></category>
		<category><![CDATA[imf]]></category>
		<category><![CDATA[Matthew Yglesias]]></category>
		<category><![CDATA[robert fisk]]></category>

		<guid isPermaLink="false">http://egalicontrarian.com/?p=301</guid>
		<description><![CDATA[1) This article is somewhat interesting, describing the announcement of the head of the UN conference on trade and development. He claims explicitly that the &#8220;free market&#8221; approach to development has conclusively failed the poor countries. The author claims that &#8220;the ideological baton&#8221; is passing from West to East in terms of development orthodoxy. To [...]]]></description>
			<content:encoded><![CDATA[<p>1) <a href="http://www.telegraph.co.uk/finance/financetopics/financialcrisis/5844775/UN-calls-for-overthrow-of-free-market-ideology.html" target="_blank">This</a> article is somewhat interesting, describing the announcement of the head of the UN conference on trade and development. He claims explicitly that the &#8220;free market&#8221; approach to development has conclusively failed the poor countries. The author claims that &#8220;the ideological baton&#8221; is passing from West to East in terms of development orthodoxy. To me this statement seems dramatic, especially since organizations like the IMF are still dominated by free market advocates. It is also a narrow statement, since you could only think the baton was really passing if you no longer care, or think others don&#8217;t care, about <a href="http://www.hrw.org/en/news/2009/07/17/china-cease-attacks-rights-lawyers" target="_blank">human rights</a>, a chief concern of heterodox development economists like Amartya Sen. See for example the <a href="http://en.wikipedia.org/wiki/Capability_approach" target="_blank">capability approach</a>. However, based on browsing at book stores and highly selective reading of Ha-Joon Chang and people like him, it does seem true that heterodox ways of looking at development are becoming more mainstream, or at least more accepted in academia (it&#8217;s not clear that public opinion was ever in favor of free market ideology). I&#8217;m sure the current global crisis has motivated these trends (perhaps ironically, in the sense of Naomi Klein&#8217;s critique of <a href="http://www.naomiklein.org/shock-doctrine/the-book" target="_blank">shock-driven</a> free market policy).</p>
<p>2) Matt Yyglesias makes <a href="http://yglesias.thinkprogress.org/" target="_blank">moderately interesting point</a> about rationing. But it seems to me that things like oil and food are qualitatively different than things like piano lessons and knowledge of history. Because I am not a professional economist, I cannot justify my intuition. Yglesias probably agrees that these are different, and thinks we should lump special health care products in with piano lessons. I&#8217;m not sure about this. For one thing, isn&#8217;t it much easier to find private piano help than it is medical help? Plus a bunch of other differences.</p>
<p>3) Robert Fisk can use just about anything as a platform for ranting, and <a href="http://www.independent.co.uk/opinion/commentators/fisk/robert-fiskrsquos-world-you-wont-find-any-lessons-in-unity-in-the-dead-sea-scrolls-1741943.html" target="_blank">here</a> he uses his viewing of the Dead Sea Scrolls. My favorite passage:</p>
<blockquote><p>So cautious are the dear old Canadians – who should by now have learned that concealing unhappy truths will only create fire and pain – that they do not even mention that &#8220;Kando&#8221;, the first recipient of the scrolls, was Armenian. Of course not. Because then they would have to explain why an Armenian was in Jerusalem, not in western Turkey. Which would mean that they would have to mention the Armenian Holocaust of 1915 (one and a half million Armenian civilians murdered by Ottoman Turks).</p></blockquote>
<p>I find almost all of Fisk&#8217;s comments here and in the rest of the article on the mark, in terms of the political realities surrounding the scrolls. But really, the purpose of the Dead Sea Scrolls is to put knowledge into<em> my</em> head about the diversity of Judaism in that period, and early Christian and Jewish religion in general. Really, the Dead Sea Scrolls should be brought to Southeast Michigan, where I live.</p>
<p>3) <a href="http://www.nytimes.com/2009/07/17/world/middleeast/17westbank.html?_r=1&amp;th&amp;emc=th" target="_blank">This</a> article is slightly encouraging, but ultimately depressing, since minor economic and cultural improvements in the West Bank are, as always, in the context of Israel allowing them for the sake of politically weakening competing anti-Israeli political parties, plus the realities of the suffocation of Gaza, plus expanding settlement programs in the West Bank itself. Also, there will probably never be general <a href="http://www.btselem.org/English/Press_Releases/20090715.asp" target="_blank">recognition</a> of Israeli crimes; we&#8217;ll just have to painfully endure Israeli generals gloating over every time Palestinians are peaceful.</p>
<p>4) Even though I am <em>almost </em>a pacifist, plus don&#8217;t like things like the CIA, I can&#8217;t help but like reading about <a href="http://www.fas.org/blog/secrecy/2009/07/al_libi_spies.html" target="_blank">spies</a>.</p>
<p>5) Isn&#8217;t it interesting how <a href="http://www.hrw.org/en/news/2009/07/17/palestinian-authority-lift-ban-al-jazeera" target="_blank">everyone</a>, or at least all governments, hate Al Jazeera?</p>
<p>6) <a href="http://www.chomsky.info/articles/20090709.htm" target="_blank">This</a> cheerfully titled piece of Noam Chomsky covers a bunch of happenings in 2009. It begins by attacking Thomas Friedman, always a noble cause.</p>
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