Comments for Donald Marron

Comment on After 20 Years, Sweden’s Labor Market Still Hasn’t Recovered by lululemon sale

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Comment on Why Do Half of Americans Pay No Federal Income Tax? by JORDAN

JORDAN — Sun, 19 May 2013 20:04:29 +0000

I don’t understand. You have a dog and a cat ,that you have to support and you make less then $17,000 a year and receive food stamps and medical for the kids. It cost money to take care of two pets ( food and medical). You can’t take care of your kids with the income you make without foodstamps and you spend your real money on two pets..???? This is why you and millions of people in the U.S. do not need stamps because of the choices you ( they ) make in life.

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Comment on CBO on the Kennedy Health Bill by http://planetforward.org/groups/the-drawbacks-of-playing-internet-based-poker

http://planetforward.org/groups/the-drawbacks-of-playing-internet-based-poker — Sat, 18 May 2013 11:12:35 +0000

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Comment on Inventories Boosted Growth in Q4 2009 by detox weight loss

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Comment on Should Economists Pay More Attention to Politics? by Gordon L.

Gordon L. — Fri, 17 May 2013 03:37:41 +0000

Seems to me the proper roles of economists regarding public policy are to:

- Advise/educate policy-makers and the public on what the “optimal” policy is (per whatever function for utility is being maximized) if political constraints (current and anticipated/possible future) did not exist or were diminished to some particular point(s) in terms of gap vs. no political constraints at all.

- Advise/educate optimal policy within such political constraints (even though that adds another huge layer of complexity, and one outside the expertise of economists lacking expertise in political-economy. (Of course, economists can collaborate with political scientists as needed.)

I’m reminded of the chapter on “Economics and History” in Will & Ariel Durant’s The Lessons of History (1968) which concludes:

We conclude that the concentration of wealth is natural and inevitable, and is periodically alleviated by violent or peaceable partial redistribution. In this view all economic history is the slow heartbeat of the social organism, a vast systole and diastole of concentrating wealth and compulsive recirculation.

And in the chapter on “Socialism and History” they observe trends at the time of the Soviet Union “now restoring individualistic motives” within its system, and “Year by year the role of Western governments in the economy rises, the share of the private sector declines” as high taxation, particularly on the upper classes, funds a welfare state, concluding:

The fear of capitalism has compelled socialism to widen freedom, and the fear of socialism has compelled capitalism to increase equality.

I think a concept related to the quotes above from both chapters is that even if some economic policies (or lack thereof) is theoretically “optimal” in some sense, implementing or moving toward such policies and their results can not only bump up against a political constraint, but can also create a political backlash that moves policies in the opposite direction, at least for some time.

http://books.google.com/books?id=LWNQ2_4wkocC&pg=PT61&lpg=PT61&dq=%E2%80%9CWe+conclude+that+the+concentration+of+wealth+is+natural+and+inevitable,+and+is+periodically+alleviated+by+violent+or+peaceable+partial+redistribution.+In+this+view+all+economic+history+is+the+slow+heartbeat+of+the+social+organism,+a+vast+systole+and+diastole+of+concentrating+wealth+and+compulsive+recirculation.%E2%80%9D&source=bl&ots=JHE2PnNHol&sig=UO19UYJ3RS4e8Qca8d4Oq-crPf4&hl=en&sa=X&ei=KMOOUbOxEsXb0wGFiIDICw&ved=0CE0Q6AEwBQ

The Lessons of History

Comment on Why Do Half of Americans Pay No Federal Income Tax? by bodicca

bodicca — Thu, 16 May 2013 23:37:47 +0000

My ex-husband never paid child support, despite ‘working’ as a real estate broker in Beverly Hills. He paid little or no taxes simply by not declaring large chunks of cash income. During the Korean War, he served stateside in San Diego, as a dental assistant. Today, he lives off Social Security and a PENSION from the VA and gets subsidized housing and food stamps. Mr. Bradshaw is a drag on society, and typical of many deadbeats. Despite having three children to support, I managed to work fulltime, and have never claimed aid or benefits of any kind for myself or my children. So, those of us who choose to play by the rules and work hard, get to support the losers.

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Comment on Should Economists Pay More Attention to Politics? by Murali Apparaju

Murali Apparaju — Tue, 14 May 2013 12:26:09 +0000

of course they should pay attention to politics… The legacy of a theorem & assumption based scenario-building clubbed with the current trend of considering only the mathematical & econometric models as having scientific/ academic rigor i feel made economists predominantly quants… with very less patience and sensitivity towards the uncertainties that can be explained only qualitatively and never numerically……

Guess some of the lost ART needs to put back in the SCIENCE of Economics