This link has been bookmarked by 176 people . It was first bookmarked on 25 Jun 2006, by sciphex.
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But since politics is volatile, there is value to evaluating such proposals in order to lay a foundation for future reform.
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A tax can be evaluated along four dimensions: cost of collection, allocative effect, revenue effect, and distributive effect.
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17 Nov 12
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the policy of unrestricted immigration that prevailed in the United States until the 1920s
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assist Mexico to raise the Mexican standard of living, since the rule of thumb is that when a nation’s per capita income reaches 40 percent of the American per capita income immigration to the United States from that nation will fall to a low level.
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dan ruff"Do patent and copyright law restrict competition and creativity excessively? Posner"
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although one cannot be certain that the causation is mainly from competition to religiosity rather than from religiosity to competition.
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This created a religious vacuum that provided an opportunity for evangelical Protestant denominations to try to convert individuals by offering the religious experiences they wanted, and that were less readily available in their local Catholic churches. This helps explain the growth of evangelical religions in this region, especially in recent decades.
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05 Jun 12
Paul FranklinTwo economists Gary Becker, who is a professor at the University of Chicago and Richard Posner, a judge on the US Court of Appeals for the Seventh Circuit in Chicago and a senior lecturer at the University of Chicago write the Becker-Posner blog.
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moonshinefunkGary Becker and Richard Posner debate issues relating to law, economics and governance
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the incarceration rate had been 118 per 100,000 in 1950, and actually fell in 1972 to 93 per 100,00. By 2000 it had reached 469 and only since the advent of the economic crisis has it begun to decline as states try to reduce expenditures.
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The inmate population started its rapid growth in the early 1970s, largely in response to sharply rising crimes rates in the 1960s, a decade of domestic unrest. In 1960 the homicide rate was 4.6 per 100,000 persons; in 1970, 7.9; in 1980, 10.2; in 1990, 9.4—but by 2000 it had dropped 5.5 and it is about the same today, which is to say that it is almost back to where it was in 1960, before crime became a big issue.
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percentage of the American population that is incarcerated is the highest of any country in the world—at 2.3 million, it is about .8 percent
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the indirect costs of high levels of incarceration must be very great, in the form of the lost output of the large number of prisoners, most of whom are of working age
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02 Dec 11
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After the financial crisis erupted in 2008, continental Europe on the whole appeared to be in better shape than the US. The main reason was that the big EU banks held smaller amounts of questionable mortgage-backed securities than did American (and British) banks. The housing markets in Germany, France, Italy, and most other member countries-Spain and Ireland are two exceptions- had not boomed as much as the American and British markets.
Unfortunately, the apparent more solid position of EU banks has turned out to be an illusion because these banks held large amounts of euro-denominated sovereign debt of Greece, Portugal, Italy, and other economically weak members of the EU. The presumption of EU banks in holdong so much sovereign debt of weak members was that the strong members would not allow defaults on any sovereign debts issued in Euros.
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as Becker emphasizes, the single currency is preventing the PIIGS from devaluing, and devaluation is the standard solution to depression for a country that has a large external trade. By devaluing it reduces the prices of its exports, increasing demand, which in turn increases domestic employment because exports are domestically produced.
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Devaluation by definition reduces the value of a currency, so anticipating that abandoning the euro would result in its replacement (in Greece, say) by a devalued local currency (the drachma), Greek holders of euros would be quick to exchange them for dollars or yen. The rate of exchange would be disadvantageous to them, however, and so there would be a net money flow out of Greece, making the country’s economic state even more desperate than it is. Moreover, the change in currency would affect not only sovereign debt, but all private contracts in euros as well, which would greatly impede the country’s foreign trade. And setting up a new currency takes time and cannot be concealed, so as soon as the setting up began, the run on euros would begin.
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What a mess! Which is why the wealthy eurozone countries are frightened by the prospect of some or all of the PIIGS dropping out of the eurozone and why therefore the PIIGS have some leverage in demanding handouts in exchange for promises (unlikely, in my opinion, to be fulfilled) of austerity and reform.
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Frida LeeA Blog by Gary Becker And Richard Posner
|Humanidades| Logos|Polis Law Politics Economics Finance |Academia| Education|Research Voices|Ideas Imported
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Pablo StafforiniA blog by Gary Becker and Richard Posner.
new-import-delicious blogs economics law gary_becker richard_posner becker-posner_blog
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Drugs and the Cost of Medicare -Becker
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09/26/2011
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Much of the concern with government deficits in countries as unlike as the United States and Greece focuses on public employees, viewed as overpaid parasites who, being paid by the government, contribute directly to the public debt. And there are indeed good economic reasons to expect the public sector to be less efficient than the private sector. The principal reasons are four: the incentive provided by the profit motive is absent; public agencies tend to be monopolies; public employees are voters; and public employers tend to substitute nonpecuniary for pecuniary emolumens, such as tenure and generous retirement benefits, because the public notices and reacts adversely to high government salaries.
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The percentage of public employees in the workforces of these countries ranges from 6.35 percent in Singapore to 33.87 percent in Sweden. Indeed the three lowest countries, and the only ones with fewer than 10 percent public employees, are Japan, Singapore, and Taiwan. The highest countries after Sweden are Denmark (32.3 percent) and Norway (29.25 percent). The remaining Scandinavian country, Finland, is fifth with 26.31 percent. In fourth place, just below Denmark, is Hungary. The other countries with public-employee percentages above 20 percent are Greece (22.3 percent), Canada, and Poland, Greece being the lowest in this group of eight countries, despite all the negative attention its public-employee workforce has received lately.
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Per capita income, in purchasing power parity terms, ranges from $17,537 in Poland to $53,748 in Norway; interestingly, both have very high percentages of public employees. Regression analysis reveals no systematic correlation between percentage of public employees and per capita GDP, except that the Scandinavian countries as a group exhibit a statistically significant positive correlation between those two variables, if the Asian countries are treated as a separate variable—Singapore has the second highest GDP per capita after Norway, yet the lowest percentage of public employees.
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What is a possible source of concern is that because there is competition based on intelligence, for example to get into good schools or win academic prizes or achieve success in commercial fields such as finance that place a premium on intellectual acuity, the availability of intelligence-enhancing drugs places pressure on persons who would prefer not to use them because of concerns over their possible negative health consequences to use them anyway.
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I am impressed that the strong majority of the world's richest individuals (about 30 out of the 39 richest Americans) made their money rather than inherited it.
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ronald fullerWe sometimes rightly cry about despoiling our natural heritage. But eastward 50 miles from the Stanford campus to the coast are literally millions of acres that are untouched, and relatively unknown—as is true even in the corridor surrounding the 280 fr
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Chris RodriguezAny interference with the market-determined wage level is prima facie inefficient
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perfectlyGoodInkCan the master of statistics (Bill James) help the Red Sox beat the Yankees? (I guess the answer was yes)
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