China causes stock market collapse

China’s attempt to combine capitalist growth with Communist controls–“Market Leninism” [get it? for Marxist-Leninism?]– has led that country to an economic crisis, which is pulling down the world’s stock markets and threatens the world’s economies.  The Dow-Jones industrial average fell over a thousand points over the last two days. [Read more…]

The government gets involved in private sector salaries

The government, through the Securities & Exchange Commission, has passed a regulation requiring that all publicly-trade companies have to publish the ratio between how much the chief executives get paid as compared to their average worker.  On the other end of the pay scale, a number of Democrats are pushing for and some local governments are implementing a $15 per hour minimum wage.

Do you think these policies will reduce income inequality?  Should the government be meddling in salary decisions with no regard for how the marketplace sets wages and prices? [Read more…]

Texas goes for the gold

The state of Texas is striking a blow for the gold standard, starting a gold-backed bank. [Read more…]

Greeks accept austerity after all

The Greek government accepted the austerity it had opposed and the people had voted against, taking the terms of the European Union bailout. [Read more…]

Puerto Rico and the minimum wage

Liberals think that a good way to help the poor is to just raise the minimum wage.  Conservatives counter that this would have the perverse incentive of causing employers to hire fewer workers, thus increasing joblessness and poverty.  Who is right?

According to Charles Lane, Puerto Rico’s financial woes that we blogged about began when Washington lawmakers decreed that this U.S. territory with a less-developed economy adopt the American minimum wage. [Read more…]

How the Greek economy is like ours

Greece has racked up a huge national debt and has such low economic growth that it is impossible to service that debt.  Economics columnist Robert J. Samuelson points out that the situation in Greece is just an extreme case of what the American economy is up against.  (Our national debt is now 105% of our Gross Domestic Product.)  In fact, he says, that’s what a big number of the world’s nations are up against. [Read more…]