Category Archives: business economics

Corporate Cash Hoards

James Surowiecki writes, Together, Google, Apple, and Microsoft have roughly a quarter of the cash reserves in the entire S&P 500. Google, the most active buyer, has averaged one acquisition a month. Acquisitions have become increasingly important as a way … Continue reading

Posted in business economics | 8 Comments

High Fixed Costs and Public Goods

The June 2017 issue of Cato Unbound looks at how the private sector could provide public goods. It considers the idea of what Alex Tabarrok calls a Dominant Assurance Contract. Alex writes, The dominant assurance contract adds a simple twist … Continue reading

Posted in business economics, Libertarian Thought, public choice | Tagged , | 11 Comments

Google and Bell Labs

A commenter writes, What Google et al are doing is a lot like the Bell Labs of old. Just as AT&T’s monopoly profits paid for a lot of research of uncertain short term direct value to Ma Bell, the Internet … Continue reading

Posted in business economics, Growth Causes and Consequences | 6 Comments

Creative destruction and the shopping mall

The LA Times reports, Between 20% and 25% of the nation’s shopping malls will close in the next five years, according to a new report from Credit Suisse that predicts e-commerce will continue to pull shoppers away from bricks-and-mortar retailers. … Continue reading

Posted in business economics | 20 Comments

The make-or-buy decision with respect to human capital

From a National Academy of Sciences report: As long-term employment becomes less common, new ways of providing for health care and pensions for all workers need to be considered that transcend their relationships with particular employers. For example, one option … Continue reading

Posted in business economics, links to my essays, Timothy Taylor is my Favorite Blogger | 10 Comments

Wal-Mart and Banking, Once Again

Lawrence J. White writes, it is exactly this demographic group—low- and moderate-income households—that is most in need of reasonably priced financial services. The percentage of U.S. households that are unbanked (i.e., do not have a bank account) or underbanked (i.e., … Continue reading

Posted in business economics, Mark Thoma is Indispensable | 19 Comments

Interfirm Inequality

Timothy Taylor writes, a rise in between-firm inequality suggests that the US and other leading economies are becoming a more economically segregated, in the sense that those with high pay and those with lower pay are becoming less likely to … Continue reading

Posted in business economics, income distribution-wealth-poverty, Timothy Taylor is my Favorite Blogger | 11 Comments

Let me Complain

about this reported study, which found that the employees who complained about work were pretty bummed out as a result. In diary entries, they reported feeling crummy and dissatisfied with their work. The study makes it sound as if the … Continue reading

Posted in business economics | 4 Comments

Improving Government Operations 2: Re-organization

One way to improve government operations would be through re-organization. I once wrote, the total number of executive entities is 157. I cannot think of any corporation in which the CEO has so many direct reports. This number ought to … Continue reading

Posted in business economics | 11 Comments

Improving Government Operations 1: Task Forces vs. Agencies

The WaPo reported, President Trump plans to unveil a new White House office on Monday with sweeping authority to overhaul the federal bureaucracy and fulfill key campaign promises — such as reforming care for veterans and fighting opioid addiction — … Continue reading

Posted in business economics | 3 Comments