Monthly Archives: April 2012

Canadian inflation falls to 1.9 % below the 2 % target rate of the Bank of Canada: raising interest rates would be a big mistake

Statistics Canada has announced that the inflation rate for March fell to 1.9 %. This is exactly opposite to what a number of conventional economists including those who hold influential positions at the Bank thought would be the case. The … Continue reading

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French election heats up: Hollande and Sarkozy neck and neck with Mélenchon in third Le Pen close behind

The French Presidential election taking place amidst the turmoil and deprivation unleashed by the crash and failed austerity approach of the European leadership is turning into a very interesting contest. It would seem with only a week to go before … Continue reading

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Vive le Québec social et progressif ! : the conflict over higher university tuition fees in Québec

There has been a significant clash over values and higher education taking place in Québec over the past few weeks. There is an on going student strike and there  have been daily demonstrations at many of the university campuses in … Continue reading

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Australia and unemployment rate significantly lower than North America and most of Western Europe

Australia has always been a country I have followed with interest. I had Australian teachers in grade school who were among my favorites and my primary school principal was a kind and wise Australian from Tasmania. I also have some … Continue reading

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On Debt follies and deficit hysteria:intelligent voices from the past

Among the many 1000 books in my library is a macro economics text, Macroeconomics:The measurement,analysis and control of aggregate economic activity, 3rd edition from 1968 written by Thomas Dernburg who was then  Professor of Economics at Oberlin college and Duncan … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, Greek sovereign debt crisis, Italian debt crisis, J.M.Keynes, Uncategorized | Leave a comment

American unemployment rate drops to 8.2 % but job creation still unsatisfactory

The U.S. Bureau of Labour Statistics reported last week that the unemployment rate fell to 8.2 % . But the total number of new jobs added was a disappointing 83,000 below what the market had been expecting so bearish sentiment … Continue reading

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Canadian unemployment rate falls from 7.4 to 7.2 %

There was some good news on the Canadian unemployment front today. Statistics Canada released the March labour force survey which showed further progress in lowering the unemployment rate to 7.2 %, a welcome development. Unemployment fell in Ontario to 7.4% … Continue reading

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Some notes on the multiplier

A key component of Keynes’ General Theory was R.F. Kahn’s development of the multiplier first published in the Economic Journal in June, 1931 ‘The  Relation of Home Investment to Unemployment.’ Kahn was not the only economist to develop this concept. … Continue reading

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Robert Reich has an excellent op ed in Financial Times: U.S.Recovery so far Benefits largely go to top 10 %.

Robert Reich who throughout this crash and crisis has produced a steady stream of excellent articles on the origins of the crisis and appropriate policies to get out of it and critiques of anti-Keynesian thinking has an excellent article in … Continue reading

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Eurozone Unemployment rises to 10.8%, 17.134 million unemployed.

Eurostat has released the latest unemployment data for the Eurozone 17. It does not make for pleasant reading. Because of the foolish contractionary  austerity policies being implemented there, as expected unemployment is rising. It is now  10 % in France, … Continue reading

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