Archive for August 28th, 2012

If Economics Were Like Fashion »

Keynesian models would attract few buyers because their aggregative fabrics are bland and colorless, with too much emphasis on gray (e.g., liquidity trap, low-level equilibrium, euthanasia of the rentier). No economic theory would be regarded as versatile unless it were suitable for discussion at a formal dinner party and also generated a high volume…
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EPA Fuel Efficiency Standards: Goals Are Not Policies »

The EPA issued new rules requiring the average fuel efficiency of new cars and trucks to get 54.5 miles per gallon by 2025. President Obama said, “These fuel standards represent the single most important step we’ve ever taken to reduce our dependence on foreign oil.” The new standard is a goal, not a policy….
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