Monday, April 27, 2020

Flat earth problem

Warren Buffett would be the first to describe himself as a capitalist. And yet he has noted many times over the years that market forces have their limitations, and that the government plays a role particularly in addressing inequities that are created by our economy.\
The bean cones always assume N scales.
More flat earth:

JOE BIDEN: Corporate America is 'greedy as hell'

The politicians are flat earthers. Biden fails to realize the corporation agglomerate to match government, and that generally means Biden. It is the large banks that enable massive government debt, Biden could never do it without the primary dealers.
Flat earther vs flat earther:

Periodically, I get emails from some guy named Tim Congdon of the Institute of International Monetary Research, bewailing the tendency “to shrug off the inflation risks that have in the past arisen from too much monetary financing of large budget deficits.” So…big increases in the Fed’s balance sheet: will they collide with reduced supply over the medium run to produce inflation? TIPS say no…

Menzie and the opposition both get it wrong.  We get deflation until the N limit then we get regime change and a period of stagflation.  How come Menzie forges about the stagflation of the 70s? And now we can see why, the House reaches its bandlimit and agrees to a meeting of the elders.

Sandbox does the adaptation on a second by second basis, the House does it on a generation by generation basis. Another:

Big-government conservatives mount takeover of GOP
But there are good reasons to believe it will end as soon as the next Democrat wins the presidency.
They are talking Mark Rubio, who is generally clueless anyway. But this is about the small states problem, they have banded and are demanding federal adjustments.  Really another flat earth problem, or using Krgman's words, these are not 50 little Hoovers.

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