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Hurricane Sandy, Frédéric Bastiat, and "Econ 101"
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Hurricane Sandy, Frédéric Bastiat, and "Econ 101"

As the Hurricane Sandy recovery effort begins, the most recent reports put the American death toll at 88 lives. Estimates of the economic damage caused by the storm vary, but some put the figure at a staggering $50 billion. Like clockwork, however, a handful of "economists" have crawled out of the woodwork to proclaim that there's a silver lining to the disaster: Ultimately, this will help the economy!

11/03/2012
Obama's Shovel-Ready Fallacies
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Obama's Shovel-Ready Fallacies

President Obama, speaking at a Chrysler plant in Toledo, attempted to highlight the successes of his bailout bonanza of the American auto-industry.  “This plant directly supports hundreds of jobs right here in Toledo.  After all, without you, who’d eat at Chet’s or Inky’s or Rudy’s?” A few days later Chet’s closed up shop and went of business.  Ouch.  Presumably, the president would surmise that the diner’s demise was a “bump in the road” on the way to recovery.

06/17/2011
Recent Tornadoes and the Broken Window Fallacy
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Recent Tornadoes and the Broken Window Fallacy

In the wake of the deadly tornadoes throughout the Midwest and Massachusetts, our hearts and thoughts are with those harmed by these terrible tragedies, which have cost hundreds of deaths and destroyed infrastructure, homes and businesses.

06/02/2011
Bastiat’s Broken Window Fallacy
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Bastiat’s Broken Window Fallacy

Frederic Bastiat’s broken window fallacy explains why high taxes, subsidies, tariffs and “stimulus” programs have made our economy worse. Advocates of these government programs only focus on what can be visibly seen while ignoring the unintended consequences. The “stimulus” may create some public works jobs but it does so at the expense of taxpayers. These taxpayers would have spent their money on goods and services that they value which also creates jobs.

08/03/2010