Fannie Mae & Freddie Mac: When Will the Government Learn?

The subprime crisis in the U.S. has resulted in the decline of many companies. Many banks including large ones had to write off millions. The decline is not limited to banks and home loan companies alone.

Out of the total $12 trillion in mortgage debt today, two companies – Fannie Mae and Freddie Mac . . . → Read More: Fannie Mae & Freddie Mac: When Will the Government Learn?

In Defense of Free Trade

One issue that differentiates economists from the vast majority of the general public is free trade. Economists overwhelmingly support international trade, with little or no regulation or taxation, and abhor protectionism—trade policies designed to “protect” domestic jobs. Meanwhile, upwards of 80% of American citizens believe that the U.S. government should be protectionist—or at least . . . → Read More: In Defense of Free Trade

What the U.S. and Canada Are Ashamed to Admit

As the recent campaign for the Democratic nomination has shown, there is always much debate surrounding the issue of delivery of healthcare; specifically, what is the best way to deliver healthcare to citizens in the most cost-efficient manner? The U.S. healthcare system has provoked criticism due to its high cost . . . → Read More: What the U.S. and Canada Are Ashamed to Admit

The Dark Side of Economic Forces

I don’t know about you, but I grew up reading children’s books. I loved them. From Curious George’s adventures with the man in the yellow hat to cheering for Max in Where the Wild Things Are (let the wild rumpus begin!), I lived and died with these characters. When I . . . → Read More: The Dark Side of Economic Forces

The Animal That Is Competition

The Red Queen among Organizations: How Competitiveness Evolves. By William P. Barnett. Princeton University Press, 2008. 296 pages. $29.95.

There are several pillars to free market economics. Among these are private ownership of property, price regulation though market action and competition among firms for profit. Given the centrality of competition, one would expect many . . . → Read More: The Animal That Is Competition

Wines and the Foreclosure Crisis (No, They Do Not Have Anything in Common)

For Wine Enthusiasts

I received a press release last week that may be of interest to those of you who are into wines. Hart Davis Hart Wine Co. will be auctioning off over 1,700 lots on September 19 and 20. Their top 10 lots include: 1990 Romanée-Conti, Domaine de la Romanée-Conti; 1982 Château Pétrus; . . . → Read More: Wines and the Foreclosure Crisis (No, They Do Not Have Anything in Common)