Yglesias is on to something

License the homeless, essentially.
I have a longstanding complaint about government and the homeless in San Francisco. Business never liked the homeless developing a street vendor economy. So business would delude Keynesian voters in the city; moving the homeless into run down hotels, at city expense.  The inevitable happened, always, a new group of homeless would appear to take the place of the previous group.  This happened consistently, new homeless never get a chance to develop the street economy, and  the Keynesian Delusions become strapped for tax money. This is what I mean by sequences of events, not intervals of time.

Yglesias gets this right

He is pointing out that the economic boundaries and state political boundaries are unmatched, and all holy hell breaks loose in politics.  I think is is quite bad, something that likely is causing the Congressional debt default.  Here is a map of  Congressional districts:

To avoid disaster, the western rural states would combine into one ot two.  California would get about five states, and the East coast would have to multiply the number of states by five or six., Texas by about three.
The best method to start the process is a California default.

When we gain efficiency, how much do we lower prices?

Tax Loopholes Are Corrupt and Inefficient, but They Should only Be Eliminated if Every Penny of New Revenue Is Used to Lower Tax Rates

From CATO's Dan Mitchell on tax policy.

If the enterprise does not keep some profit from its greater efficiency then where is the incentive? CATO should know better, but if they presume some natural tendency toward socialism, then give us the evidence because this sounds a lot like Animal Spirits.

Score one for Yglesias.