Tag Archives

Archive of posts published in the tag: fiscal policy

Economics, Science and History

Economics is a bit different from history by the use and study of certain underlying principles. It is  not a physical science but a  social science using scientific methods to analyze and understand. There are certain principles that are quite

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The Great Divergence

From Scott Grannis at his blog, Calafia Beach Pundit Taking the measure of the our discontent: Excerpt: If one thing stands out in these charts, it is the abruptness and the severity and the persistence of the divergence from long-term

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A Liquid State of Inaction

More than  few from the opposition have criticized corporations for sitting on too much cash.  Companies are not in the cash holding or cash management business.  Especially in today’s environment of near zero return on short term holdings, one should

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A Catch 22 Economy

Interest rates and inflation are at a record low, yet stimulus spending has flooded the markets with currency.  The valve that turns money creation into inflation is velocity. The velocity is very low because businesses are reluctant to invest and

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