The portents from China, on the price front, are ominous. Inflation is rising, as shown in Figure 1:
Heritage Breaks Internet Silence on Its Ryan Plan Simulations (w/o a single number!)
Or, a “Forensic Analysis for the Heritage CDA results”
The Heritage Foundation Center for Data Analysis (CDA) simulation of the Ryan plan, on behalf of the House Committee, has come in for some criticism. Commentary has been provided by Paul Krugman, and perhaps most comprehensively by Macroeconomic Advisers. (My comments are here: [1] [2] [3]). Yesterday, the Heritage Foundation CDA’s director, William Beach, posted a rebuttal to Krugman’s critique. While Big Picture posted an excellent rejoinder,
I want to deal with one particular aspect of Mr. Beach’s open letter. Consider this excerpt.
Keystone Gulf Coast Expansion Project
If President Obama is looking for ideas that would build American infrastructure, create jobs, and reduce the budget deficit, here’s an option to consider.
Brent-WTI spread
The puzzling differential between the price of oil in different markets seems to be persisting.
Dispatches (XIII): Gov. Walker: “It doesn’t save any [money]”
That is Governor Walker’s answer to the question of how much money rescinding collective bargaining for public unions saves the state government. From the Capital Times:
More on the Characteristics of the Heritage Foundation CDA Analysis of the Ryan Plan
Interest rate risk and the Fed
Is borrowing short and lending long a risky strategy for the Fed?
Dispatches (XII): Wisconsin Governor Walker Threatens Layoffs (Again!)
From WisPolitics today:
Gov. Scott Walker says he may have to again consider laying off state employees if his collective bargaining law remains tied up in the courts for much more than the next week or two.
From the GOP: Budget Cuts for FY 2011
From the House Appropriations Committee (Republican), courtesy of TPM:
Some Thoughts on Energy Independence
The President’s new initiative on increasing energy independence inspired much commentary on how much it was aspirational, rather than realistic; see for instance this extensive NYT article. In this post, I want to consider whether reduced dependence on imported energy is a worthwhile objective.