Sunday, August 18, 2019
Wednesday, July 17, 2019
Why has the Democrat party become the party of the alphabet gang, the LBGTQRSUV... crowd? Because socialists have always hated the family. Jonathan Newman quoted from Marx and Engels in The Communist Manifesto:
Abolition of the family! [...] On what foundation is the present family, the bourgeois family, based? On capital, on private gain. In its completely developed form, this family exists only among the bourgeoisie. But this state of things finds its complement in the practical absence of the family among the proletarians, and in public prostitution.
The bourgeois family will vanish as a matter of course when its complement vanishes, and both will vanish with the vanishing of capital.
Do you charge us with wanting to stop the exploitation of children by their parents? To this crime we plead guilty.
Wednesday, June 12, 2019
Source: AP Photo/Jacquelyn Martin
The stock market rocketed recently on news that the Federal Reserve may cut interest rates. People speculated that it may do so because of tanking economies in the rest of the world, President Trump’s trade wars, the slowing US economy, and other ideas.
Central banks have used the tools of interest rate changes and open market operations (buying and selling treasuries) for over a century in misguided efforts to boost their economies out of recessions. They get by with it because the process is complicated enough that most people don’t understand it. The general idea is to force feed the economy more money through the tube of the banking system.
Saturday, May 18, 2019
Source: AP Photo/Michel Euler
Hayek wrote in Intellectuals and Socialism that, “The main task of those who believe in the basic principles of the capitalist system must frequently be to defend this system against the capitalists--indeed the great liberal economists, from Adam Smith to the present, have always known this.”
Source: AP Photo/Andrew Harnik
Harvard economist Greg Mankiw thought President Trump’s nominations of Herbert Cain and Stephen Moore to the Federal Reserve Board would sully the reputation of his mistress. Sounding like a teenage girl with a crush, or sportscasters talking about their favorite running back, Mankiw wrote a gushing love letter to the Federal Reserve for the New York Times:
I have a confession to make: I love the Federal Reserve. And I suspect that, in their heart of hearts, most other economists love the Federal Reserve, too. But I fear our love may be in peril...
At this point, you might be saying: “Whoa, Nelly! Have you already forgotten the financial crisis and Great Recession?”
No, I have not. As I wrote just last year, the Fed’s decision not to rescue Lehman Brothers when the investment bank faced a liquidity shortfall in September 2008 was arguably an unforced error. And though we’ll never know for sure, subsequent events might have been less tragic if the Fed had acted more boldly.
Institutions, like people, should not be judged by the standard of perfection. They should be judged by whether they are doing the best they can. By this standard, I give the Fed a top grade.