"Words ought to be a little wild, for they are the assault of thoughts no the unthinking" - JMK
- Just an interesting FYI - Bastiat is taught to undergraduates at American University. I was talking to a professor the other day and he said the first day of class he was talking about the economics of the hurricane with them, and he made them read "this French economist from the 1800s". Bastiat? I asked. Yep. He figured I wouldn't know how him, which is why he said "this French economist". Anyway, I think it's funny how some Austrians think that a Nobel Prize winner like Hayek is a non-person or that nobody is aware of the points that are discussed on Austrian blogs.
- Gene takes the quite simple claim of guys like Krugman on broken windows and says it in another context. Hopefully this helps highlight how straightforward and non-masochistic the claim is, as well as how stupid this whole argument is. [Silas Barta - try to contain yourself in the comment section].
- A priorism kills.
- Bryan Caplan tries to divine Keynesian theory from some accounting identities. The comment thread clears up the confusion. It's very important to understand what accounting identities like the Keynesian cross or the equation of exchange can and cannot do. They provide constraints and structure that can be informative, but they obviously don't tell you the path of their component variables. Doing some comparative statics is definitely informative, but you can't stop there.