Some readers probably think I exaggerate the risk of government power when I warn against Big Government. Maybe I do. But it’s probably also true that many people don’t realize the extent of government control in their lives. To illustrate what government can do, let’s zoom in and examine a brief history of one thing: … Continue reading Beer: an illustration of government control
The CAFE fuel economy standards leave much to be desired. Let’s see why. What is CAFE? Corporate Average Fuel Economy, or CAFE, was enacted in 1975. CAFE regulates the fuel economy of new consumer vehicles sold in the US. In a nutshell, each automaker is required to meet or exceed certain MPG (miles per gallon) … Continue reading Why CAFE fuel standards are foolish
My last post discussed how much profit is ‘normal.’ Sticking with the profit theme, this time I’ll try to explain why profit should not be a dirty word. I will make the case that profit is nothing to be ashamed of. Profit serves useful purposes and is needed to achieve broad prosperity. Dislike of profits … Continue reading Why profit is not a dirty word
I’m used to the fact that some people have misperceptions about various economic issues. For example: The rich don’t pay their fair share of taxes (here). Price-gouging in a crisis is wrong (here). The middle-class standard of living has stagnated since the 1970s (here). I’m also aware that some people have misperceptions about business profits, … Continue reading How much profit is normal?