Recent disappointing news on the spread of COVID-19 has raised questions about whether the rebound in economic activity has been dealt a serious blow. Ironically, this comes at a time when the blowout 4.8 million increase in employment in June again surpassed forecasts by experts by a country mile. Will these emerging chutes of economic … Continue reading Could the Recovery be Losing its Legs?
Encouraging Signs
Recent data pointed to the willingness of households and businesses to resume spending in May. Personal consumption outlays on goods and services increased 8 percent in May, retracing nearly 40 percent of the plunge over the previous two months. Especially encouraging was the bounce back in purchases of big-ticket durable goods, such as motor vehicles … Continue reading Encouraging Signs
Has the Recovery Begun?
The National Bureau of Economic Research (NBER)—the semiofficial arbiter of business cycles in the United States—has officially determined that the longest postwar expansion came to an end in February. In other words, the COVID-19 recession got going in March. No surprise there. Of more interest now is whether a turnaround has begun and are we … Continue reading Has the Recovery Begun?
Book Mentions
Find Capitalism Versus Socialism: What Does the Bible Have to Say? in the news! Reedsy Discovery "Excellent explanations of various ideologies, relevant economic concepts, and how well the Biblical teachings conform to those systems."Reviewed by Steven Klovning on June 14, 2020 Bargain Booksy Featured as a "must read" non-fiction best seller on May 28, 2020.
Any Signs of Inflation Yet?
Since mid-March, the M1 measure of the money stock has grown $900 billion—an increase of more than 20 percent over just two-and-a-half months. If it kept this pace, M1 would double in a year. Accompanying this, the Federal Reserve has injected massive amounts of liquidity into our economy by purchasing more than $2-1/2 trillion of … Continue reading Any Signs of Inflation Yet?
Has the Market Gotten Ahead of Itself?
Each day, it seems, the stock market moves closer to its February peak. After a late-winter plunge that erased roughly $7 trillion in household wealth, the S&P 500 index has recovered nearly all of those losses. Are investors in the market oblivious to the ongoing damage from COVID-19? What about the upheaval over the death … Continue reading Has the Market Gotten Ahead of Itself?
Ratio Christi: South Africa Meeting
On June 4th, I joined Simon Brace and Ratio Christi South Africa to discuss my latest book, Capitalism Versus Socialism: What Does the Bible Have to Say? Please feel free to click on the red button below to re-watch the event. View youtube stream The slides from the presentation are available for download below. Presentation … Continue reading Ratio Christi: South Africa Meeting
Sorting Through the Pain
What do Pier 1 Imports, JC Penney, Gold’s Gym, and Cinemax have in common? All are well-known businesses that have filed for bankruptcy recently—casualties of COVID-19. Not so well known are the family-owned restaurants down the street, the owners of the local gyms, and the Uber drivers. Are these canaries in the coal mine, only … Continue reading Sorting Through the Pain
Some Introductory Thoughts
Proponents of democratic socialism like to argue that democratic socialism is the purest form of democracy. Everybody gets treated the same. But that can be true only in the abstract. What does it mean in practice? Does it mean that everyone gets the same allocation of food, regardless of their physical size or dietary requirements? … Continue reading Some Introductory Thoughts
Faith and Economics
I have always believed that there is a God. I grew up in a family with strong Norwegian Lutheran roots on my mother’s side. My grandmother was a victim of polio and lost at least three children, but she had an infectious spirit that seemed to inspire everyone she met. I know that she prayed … Continue reading Faith and Economics
