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Economists continue to pick holes in government programme

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In economics, and macroeconomics especially, we rarely, if ever, observe a true natural experiment. Unlike a chemist testing reactions in a lab, economists cannot experiment with government spending policies by shutting down particular sectors of the economy, introducing additional government spending, and recording the outcome.

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The final, and most difficult because least well-defined, role of economists (and other "professionals" within government) is to assess critically, synthesise, and translate into policy, the research consensus in a particular area. This is difficult for (at least) two reasons. First, it requires judgement.

Most economics problems have secondary effects – the deadweight loss from taxation is one such secondary effect. A government creates a tax to pay for some needed social program, but if the taxation is careless crafted, a secondary effect of that tax may be that it changes people’s behavior, causing economic growth to slow.

Continue reading ->The post All About Medicare coverage, specifically Part D, is rather complex. For years, the potential benefits of this program were overshadowed by the "donut hole."

The federal budget is a plan for federal government outlays and revenues for a specified period, usually a year. The U.S. government can continue to run a deficit as long as the cost of servicing the resulting debt remains manageable.

Bradenton-Sarasota foreclosure rate continues to fall Foreclosure rate falls in South Florida – The foreclosure rate in Miami-Dade and Broward continues to fall as the economic recovery heals the local housing market. The percentage of Miami-Dade homes in foreclosure in May was 3.68 percent,

Deficit spending is the amount by which spending exceeds revenue over a particular period of time, also called simply deficit, or budget deficit; the opposite of budget surplus.The term may be applied to the budget of a government, private company, or individual. Government deficit spending is a central point of controversy in economics, as discussed below.

The federal government’s little-known pension heist The Pension benefit guaranty corp., the federal agency that backstops pensions, would not be able to withstand the failure of the Central States fund. (The federal program is also in trouble, reporting a $76 billion deficit in mid-November, and its estimated exposure to future losses runs to the hundreds of billions.)

"The business of ‘mining’ is not forbidden in law but the government and the Central Bank have ordered the Customs Bureau to ban the import of [mining machines] until new regulations are introduced."

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