Recommended Readings
- Too Sunny in Latin America (CEPR): "The IMF’s spring projections for the following year’s growth in Latin America have been too high in 13 of the last 17 years. The probability of overstating growth with this frequency due to random chance – rather than a systematic bias – is less than 2.5 percent... An overstatement of growth of this magnitude can have serious consequences in both the short-term and long-term, if it provides a basis for policy. It means, for example that if a country can expect 2.0 percent growth in the following year, then the IMF is likely to project its growth rate as 3.6 percent."
- Jobless Claims Rise and Factory Orders Fall (CNN.com)
- The World Suddenly Looks Bleaker (Economist.com): "A big sell-off would mean plunging Treasury prices and thus their yields would rebound and more from their recent falls, leaving America with higher financing costs, the last thing its fragile economy needs. 'As far as I or any of my friends can tell there is no one remotely close to the president that knows about international finance,' says one of Buttonwood’s old friends, far more senior than he. It shows."
- US Warned of Trade Spat Over 'Buy American' Bill (FinTimes): "The European Commission has warned the US Congress that it could spark a fresh transatlantic trade dispute if it adopts draft legislation urging the Pentagon to buy all essential weapons parts from US manufacturers."
- The Dollar Meltdown (Grant, Forbes): "Not every day does the world's hegemonic power pursue a policy of currency debasement. Still less frequently does it have the courtesy to tell its creditors what it's doing to them."
- The Bridge of Asses (Rockwell, Mises.org): "We can know via logic that the minimum wage leads to less hiring at rates below the minimum wage than there would otherwise be in absence of the laws. There should be no question that this is the case, since this is precisely what the laws are supposed to do."
Posted by Mises.org News
