Economics and Economic Freedom

A free and prosperous society requires a functioning market economy at its foundation. Using a broad array of tools drawn from price theory, public choice analysis, Austrian theory, and classical empiricism, our study of economics and economic freedom explores the underpinnings of the market system, the roots of economic prosperity, and emerging threats to the same in the public policy sphere. Our work includes the measurement of freedom and providing practical economic information for people to make better decisions.

Articles

Arthur Okun, Class Warfare, Redistribution, and Income Growth

Daniel Mitchell May 7, 2021

“The low-income worker is a net beneficiary of bigger government for about 10 years. But as time goes on, the worker would be far better off with smaller government and faster growth. Different assumptions will lead to different results, of course. My goal is simply to help readers understand two things: bigger government leads to less economic growth, and less growth leads to big income losses over time.” ~ Daniel J. Mitchell

The New York Times Argues With Itself About Biden and Taxes

John Tamny May 6, 2021

“Government spending by its very name is the politicized allocation of precious wealth first created in the private sector. In other words, government spending delays the mass production of yesterday’s luxuries and tomorrow’s must-haves by limiting investment. Page B1 in the April 29th New York Times shows us why this is true.” ~ John Tamny

Services Sector Expands Again in April

Robert Hughes May 5, 2021

“The services sector expanded again in April, but logistical and labor issues as well as shortages of materials are boosting pressure on prices.” – Robert Hughes

Policy Uncertainty Causes Sundry Shortages

Robert E. Wright May 5, 2021

“Policymakers seem determined to force through as many policy changes as rapidly as possible, possibly in an attempt to create confusion over causes, much the way Covid and lockdowns became conflated in the public mind. They need to tread carefully, though, because our technological and military might will not save us if the core cause of our prosperity withers.” ~ Robert E. Wright