milton friedman


Central Planning by Central Bankers

In a 2009 article, the Huffington Post went into considerable detail about the number of people with PhD degrees in economics employed by the Board of Governors of the Federal Reserve System. This is the government’s branch of the Federal Reserve. It is not one of the 12 regional Federal Reserve banks, all of which …


Why the Wealth Effect Doesn’t Work

Its acceptance is as widespread as its justification is important, for it provides the rationale for the Federal Reserve’s unprecedented monetary expansion since 2008. While critics may dispute the wealth effect’s magnitude, few have challenged its conceptual soundness. Such is the purpose of this article. The wealth effect is but a mantra without merit.


Yellen, the Most Qualified Since Arthur Burns

There’s plenty of gushing about the Janet Yellen appointment as Federal Reserve Chairman. Yale economist Robert Shiller says she’s “a real mensch.” Greg Mankiw from Harvard says President Obama made a great decision in choosing her. “Reports of Janet Yellen’s forthcoming nomination will be greeted well by market agents,” says David Kotok. “It should be.” …


The Hidden Cost Of The Payroll Tax

The best part of the chaotic debate in Washington about the payroll tax is that this wicked institution is finally getting the public attention it deserves. In most debates about taxation, the payroll tax has hardly ever been mentioned, even though it accounts for more than one-third of federal revenue, and even though two-thirds of …