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Who should pay for fixing externalities?, by Scott Sumner

August 31, 2018 Bilal 0

Bloomberg has an interesting article on Amazon: For a little while earlier this year, it seemed as though 87-year-old Rosie Thomas and her neighbors in the small town of Gainesville, Va., had beaten Amazon. Virginia’s largest utility, Dominion Energy Inc., had planned to run an aboveground power line straight through a Civil War battlefield—and Thomas’s property—to reach a nearby data center run by an Amazon.com Inc. subsidiary. Source: Who should pay for fixing externalities?, by Scott Sumner

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Are weaker property rights behind the fall of the RAND?

August 31, 2018 Bilal 0

In the chart to the right, denoting prices over the past six years, we see a big increase in price of Pounds measured in RAND, indicating an increase in the demand for Pounds (people who want to sell RAND and buy Pounds). It fell, but it is going up again. Source: Are weaker property rights behind the fall of the RAND?

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Healthcare Triage: How Administrative Costs Drive Healthcare Costs

August 31, 2018 Bilal 0

Administration of medical care is a huge driver of costs in the United States’ healthcare system. Running hospitals, generating bills, and collecting payment are just a few of the activities that take up health providers’ time, and run up the costs of care. Source: Healthcare Triage: How Administrative Costs Drive Healthcare Costs

Artificial Intelligence Still Isn’t All That Smart

August 31, 2018 Bilal 0

Machine learning-enabled price discrimination might allow companies to figure out exactly how much customers are willing to pay for things, and gouge them for every penny. Machine learning-enabled network effects could aggravate the problem of big-company dominance. Algorithms could collude with each other to rig markets, without humans even realizing the collusion is happening.

Pro-Growth Education for Japan

August 31, 2018 Bilal 0

It is time for Japan to unleash the third “arrow” of Abenomics: a long-term growth strategy underpinned by structural reforms. A critical element of that strategy must be improved human-capital formation, achieved through a revised approach to education.

Brexit doom predictions – the Y2K of today

August 31, 2018 Bilal 0

Anyway, the August edition of ‘Brexit Watch’ has come out now and didn’t disappoint. The manic anti-Brexit bias continues. Very little understanding of the impact of the irresponsible fiscal strategy is demonstrated. The same hacks get a ‘guernsey’ and prophesies of doom abound.

China Invents a Different Way to Run an Economy

August 31, 2018 Bilal 0

Although it’s hard to get a clear picture of China’s overall credit policy — because there are so many policy levers, and because so much is done behind closed doors — it appears that the country is feeling out a novel approach to macroeconomic stabilization. That program focuses on asset prices, bank finance, real estate and administrative control of banks.