Author Archives: Arnold Kling

My recent reading

1. The Captured Economy, by Brink Lindsey and Steve Teles. I don’t think I have much more to say about it than what I wrote here. 2. How to Think, by Alan Jacobs. The topic of political emotionalism is something … Continue reading

Posted in books and book reviews, Tyler Cowen is my Favorite Blogger | 1 Comment

The Cowen-Cochrane dispute on banking

You can start with Tyler, and work backwards. I don’t think it is easy to get around having a part of the economy which is both systemically risky, and also debt-intertangled, as the evolution of shadow banking over the last … Continue reading

Posted in financial markets, Tyler Cowen is my Favorite Blogger | 6 Comments

What is the limit on firm size?

Miles Kimball wrote, Given the replication argument, there is no scale of operation that is beyond efficient scale. There may be ample reason to make different plants or divisions quasi-independent so they do not interfere with one another’s operations. But … Continue reading

Posted in business economics, Economic education and methods | Tagged | 5 Comments

The Richard Reeves recommendations

From a review of The Dream Hoarders: Reeves is optimistic, however, that the correct policy agenda can reverse this trend. His policy background shines through in the clarity of his seven-point agenda. The first four focus on equalizing human capital … Continue reading

Posted in books and book reviews, income distribution-wealth-poverty | 20 Comments

Complexity illustrated by the financial crisis

This IGM poll of leading economists on the importance of various factors in the financial crisis of 2008 provides interesting results. The poll lists 12 factors, and all of them receive at least some positive weight. In fact, this under-estimates … Continue reading

Posted in Financial Crisis of 2008, links to my essays | 3 Comments

The Bretton Woods Consensual Hallucination

Scott Sumner writes, You might think it’s no big deal that exchange rates becomes more volatile after the end of Bretton Woods—after all, Bretton Woods was a fixed exchange rate regime. Actually, it’s a huge deal, as you’d expect the … Continue reading

Posted in Monetary Economics, Scott Sumner is Coherent | 9 Comments

Brink Lindsey and Steve Teles push liberaltarianism

the point of convergence is where anti-statism and egalitarianism meet That is from their new book, The Captured Economy. They discuss four areas in which public policy exacerbates inequality: housing finance subsidies, intellectual property protection, occupational licensing, and urban land-use … Continue reading

Posted in books and book reviews, public choice, regulation | Tagged , | 8 Comments

More thoughts on disciplined software development

Tom Killalea wrote, Robert C. Martin described the single responsibility principle: “Gather together those things that change for the same reason. Separate those things that change for different reasons.” Clear separation of concerns, minimal coupling across domains of concern, and … Continue reading

Posted in books and book reviews, business economics | Tagged , | 3 Comments

Social media and the art of thinking unreasonably

Here comes my rant against political uses of social media, notably Twitter and Facebook. Politics on social media is not reflective. It is not deliberative. It is not long-term thinking. It is short-term, reactive, tribal, and emotional. Social media facilitates … Continue reading

Posted in books and book reviews, business economics | Tagged | 11 Comments

The art of thinking reasonably

David Brooks starts out talking about Richard Thaler, but he moves on to recommend a forthcoming book by Alan Jacobs, called How to Think. Brooks writes, Jacobs nicely shows how our thinking processes emerge from emotional life and moral character. … Continue reading

Posted in books and book reviews, David Brooks, Tyler Cowen is my Favorite Blogger | 1 Comment