Category Archives: Mark Thoma is Indispensable

CBO under attack

Marc Short and Brian Blase write, The CBO’s methodology, which favors mandates over choice and competition, is fundamentally flawed. As a result, its past predictions regarding health-care legislation have not borne much resemblance to reality. Its prediction about the Senate … Continue reading

Posted in Economic education and methods, Economics of Health Care, Mark Thoma is Indispensable | 15 Comments

Peter Turchin on mathematical modeling

He writes, Models clarify the logic of hypotheses, ensure that predictions indeed follow from the premises, open our eyes to counterintuitive possibilities, suggest how predictions could be tested, and enable accumulation of knowledge. The advantage of clarity that mathematical models … Continue reading

Posted in Economic education and methods, Mark Thoma is Indispensable | 9 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

The problem of overconfidence

Chris Dillow writes, overconfidence can be a form of strategic self-deception. A new paper by Peter Schwardmann and Joel van der Weele shows this. They got subjects to do intelligence tests and then selected some at random and told them … Continue reading

Posted in behavioral economics, Mark Thoma is Indispensable | 6 Comments

When to break up the big banks

Stephen G. Cecchetti and Kermit L. Schoenholtz write, From our perspective, by raising the odds of an effective resolution, FIBA (as a complement to Dodd-Frank) boosts the credibility of the U.S. regime. Over time, foreign regulators also may be reassured … Continue reading

Posted in Financial Crises, Mark Thoma is Indispensable | 7 Comments

The Labor Share Story

Noah Smith writes, There are, by my count, now four main potential explanations for the mysterious slide in labor’s share. These are: 1) China, 2) robots, 3) monopolies and 4) landlords. Pointer from Mark Thoma. Smith’s essay is a useful … Continue reading

Posted in income distribution-wealth-poverty, Mark Thoma is Indispensable | 13 Comments

Perhaps we need peer regulation in finance

Guy Rolnik writes, After acknowledging that the OCC knew of the issues within Wells Fargo as far back as 2010, it stated that “The OCC did not take timely and effective supervisory actions after the bank and the OCC identified … Continue reading

Posted in financial markets, Mark Thoma is Indispensable | 1 Comment

What Drives the Result?

Douglas L. Campbell writes, the Glick and Rose estimation strategy implicitly assumes that the end of the cold war had no impact on trade between the East and the West. Several of the Euro countries today, such as the former … Continue reading

Posted in Mark Thoma is Indispensable, statistical methods | 1 Comment

War, State Capacity, and Economic Growth

Jared Rubin looks at the literature which says that European states fought many wars, that this required them to add “state capacity,” and this in turn produced economic growth. He concludes, while the war argument has many merits, it needs … Continue reading

Posted in Growth Causes and Consequences, Mark Thoma is Indispensable | 7 Comments

The Case for Government Statistics

Nicholas Eberstadt, Ryan Nunn, Diane Whitmore Schanzenbach, and Michael R. Strain write, Objective, impartial data collection by federal statistical agencies is vital to informing decisions made by businesses, policy makers, and families. These measurements make it possible to have a … Continue reading

Posted in Economic education and methods, Mark Thoma is Indispensable, Timothy Taylor is my Favorite Blogger | 6 Comments