On June 8th in London, George Selgin will deliver the Institute of Economic Affairs annual Hayek Memorial Lecture . The title of George’s talk is “Price Stability and Financial Stability without Central Banks.”
Speaking of price stability, David Henderson’s purpose in this post is to discover the extent to which the GDP deflator overestimates inflation, but what I find even more surprising is the huge difference between inflation estimates rendered over time by the Deflator and those rendered by the Consumer Price Index . (I knew that the CPI is more prone to overestimate inflation than is the Deflator, but I didn’t realize the size of this difference.)
But let me slightly modify Kessler’s explanation. It’s not interconnectedness that makes trade “no longer a zero sum game.” Trade is never a zero sum game. If trade were a zero sum game, it would never happen. Two people trade because each expects to gain from the exchange. If I shine your shoes for $5, it’s because you value shiny shoes more than you value $5 and I value $5 more than the time, materials, and effort I expended.
I stand with Jeff Tucker (and my intrepid colleague Dan Klein): I refuse to participate in the surrender of the word “liberal” to statists of a “Progressive” stripe – people who are in fact deeply illiberal .