broken window parable has lasted because the mistake it identifies is permanent. People keep confusing motion with wealth. A shop window gets smashed. The glazier benefits. He is paid to replace it. Money changes hands. Work is created. Onlookers reassure themselves that the damage at least “helped somebody.” Bastiat’s point is that this is where bad economic reasoning begins. The shopkeeper must…

Outside, the morning was obstinate, refusing to shine properly, as if even the sun had somewhere better to be. To be fair, it was Tuesday. Have you ever stood still long enough that you forget which way is forward, but still, you don’t actually care? This is what Tuesdays feel like, like if I vanished right now, only the kettle would miss me. The trouble with economic myths is that they are…

If Dudley is Right, Then Let’s Pray for the Flooding of the Entire Country!

This article was published by The McAlvany Intelligence Advisor on Monday, September 11, 2017: Cover of The Emperor’s New Clothes Taken to its logical conclusion, William Dudley, the president of the Federal Reserve Bank of New York, thinks a flood covering all of the United States would stimulate the economy. Several sources confirmed that this is what Dudley said on Friday in an interview…