President Obama's health care reform certainly offers progressive benefits as it extends access to health insurance. An economist might ask what it will cost. In today's WSJ, Casey Mulligan has written a pessimistic piece arguing that its costs will be very high. He argues that marginal tax rates will be rising due to this legislation and this will have medium term effects on slowing economic growth. Here is a graph from his paper. Do incentives matter?
After many years of investigations and saber-rattling, the EU has finally charged Google with abusing its search monopoly. The EU's "Competition Commission," the entity behind this process, has also opened an investigation into Google's Android operating system. In the near-term, these actions won't do much. The parties will likely now proceed to court, where they will fight for another few years.
The disconnect between how the earned income tax credit and unemployment benefits are calculated often means that people who didn't work receive a larger credit than those that did, an economist writes.
Once upon a time in the good old U.S. of A, way back in the 19th century, there were gigantic companies that were known as trusts. We had trusts for Steel, we had trusts for oil, we had trusts for railroads, and we had trusts for just about everything except trust itself.
"The Justice Department has a dismal record in bringing antitrust cases in fast-moving industries. In the 1960s, IBM had to defend its "dominant" mainframe business, which the personal computer soon rendered obsolete. Then Microsoft was accused of having monopoly power it only wishes it ever had. Today Google is in the regulatory crosshairs just as it faces many new competitors.
Submitted by Nick Giambruno of Doug Casey's International Man blog, One of my favorite podcasts to listen to is The Peter Schiff Show (www.SchiffRadio.com). Peter always does an excellent job of dissecting the latest economic news and cutting through the smoke and mirrors of government statistics.