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Left-Digit Bias

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

Chapter 22 of my favorite textbook discusses various ways in which individual decisionmaking deviates from standard notions of rationality.  Here is a new one to me (from the NBER Digest):In Heuristic Thinking and Limited Attention in the Car Market (NBER Working Paper No. 17030), authors Nicola Lacetera, Devin Pope, and Justin Sydnor focus on the used car market and ask whether it is affected by consumers exhibiting a heuristic, or short cut, known as left-digit bias: the tendency to... Read more
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Fred Bergsten on Net Exports

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

In today's NY Times, Fred says government policy should focus more on increasing net exports.  He says a lot of wise things, especially regarding the need for better intellectual property protection abroad.  One part of the article, however, puzzles me.  He writes:The artificially low value of the renminbi ? it is 20 to 30 percent less than what it should be ? amounts to a subsidy on Chinese exports and a tariff on imports from the United States and other countries.Think about... Read more
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Moneyball

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

My family and I saw the movie Moneyball last night.  It is much fun. Besides, I have to love any movie in which a key fact about a major protagonist is that he studied economics.The movie, however, is fictionalized. In real life, the geek-genius who saved the team studied economics at Harvard. The movie, however, changes the character's name and says he studied at Yale.Yale'  Seriously' Yale' Read more
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A Conversation with Robert Lucas

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

In today's Wall Street Journal.  Unfortunately, I think you need a subscription for this link to work.  (However, try Googling "Robert Lucas" in Google News, and I understand you can get around the paywall.) Read more
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Why I am not very worried about inflation just now

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

Click on graphic to enlarge.Several people have asked me in recent days if the Fed's aggressive attempts to get the economy going will lead to galloping inflation to go along with our weak economic growth.  It is possible that this might occur down the road, of course, but I don't see it happening just now.  The slack labor market has kept growth in nominal wages low, and labor represents a large fraction of a typical firm's costs.  A persistent inflation problem is unlikely to... Read more
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Three from National Affairs

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

John Cochrane on inflation and debt.Scott Sumner on monetary policy.Andrew Biggs on means testing. Read more
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Kotlikoff on the Corporate Tax

From Greg Mankiw's Blog , 4 month ago, Read 0 times. Similar articles

The Boston University economist is not a fan of the corporate income tax. Read more
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