Insecurity about Homeland Security Spending

I recommend looking at the 2005 American Enterprise Institute paper on homeland security spending at: http://psweb.sbs.ohio-state.edu/faculty/jmueller/DERUGY.PDF Providing insight about where, how, and why approximately $44 billion is being spent, the report expresses concern about homeland security spending decisions. In this…

Is More Security Too Expensive?

Great cost benefit analysis in yesterday’s Wall Street Journal. How do we decide whether the cost of intensified airport security is worth the benefit? 1. The TSA says that one life saved is worth $3 million spent. That means, though,…

No Need For Psychiatry; Just Ask Dr. Economist

In today’s Notes post, the link is to Dear Economist, written by Tim Harford for the Financial Times. Using economic ideas to provide answers about love and life, he proves that economics is about so much more than money. Opportunity…

Should We Stop Giving Holiday Gifts?

According to Wharton School economist Joel Waldfogel, we might be better off if we stop gift giving. Dr. Waldfogel says that all too often, the value of the gift to the recipient is less than the price the giver paid.…

A New Kind of Misery Index?

11.84 is the current level of our “misery index” if we use what Arthur Okun (economic advisor to Lyndon Johnson) created. November unemployment + inflation rates = 11.84. However, according to Floyd Norris, a new index might be more appropriate.…

Listening to Picasso

Pablo Picasso is quoted for (maybe) saying “Bad artists copy. Good artists steal.” Perhaps, when pondering health care reform, Congress should do more “stealing”. Looking at Switzerland’s health care model, we might “steal” their attention to incentives. Insurers, patients, and…

The Impact of No Impact Man

Knowing that every decision has an opportunity cost, we can become “no impact” men and women…IF…we identify and accept the trade offs. Is it okay to give Starbucks less business? Then, who will absorb that impact? The stockholders? The employees?…