Aphorism of the Day Bryan Caplan By Bryan Caplan, Aug 29 2011 SHARE POST: An economic model is just a story without any holes in it. A good economic model is a credible story without any holes in it. P.S. Why The Lord of the Rings is a great story but a terrible model.
Aug 30 2011 Cost-benefit Analysis Top Economist's Headache David Henderson In my tribute to the late Bill Breit of Trinity University, I promised to retell a story from my book, Making Great Decisions in Business and Life, co-authored with Charley Hooper. Here it is: A Nobel prize-winning economist was to be guest of honor at a large dinner party at a Texas university. A professor from the u... 15 Read More
Aug 30 2011 Macroeconomics The Size of Monetary Stimulus vs. the Length of Mo... Bryan Caplan Don't miss Tyler Cowen's excellent post on the size versus the length of fiscal stimulus. Key passages:For all the talk of a "large stimulus," you don't hear much about a "longer stimulus."... Ideally a stimulus employs some idle labor, stops it from depreciating, and tides those workers over until they can look ... 3 Read More
Aug 29 2011 Economic and Political Philosophy Aphorism of the Day Bryan Caplan An economic model is just a story without any holes in it. A good economic model is a credible story without any holes in it.P.S. Why The Lord of the Rings is a great story but a terrible model. 3 Read More