Tuesday , June 15 2021
Home / Tag Archives: Income Distribution

Tag Archives: Income Distribution

Rosen versus Henderson on Child Tax Credits

Here’s a video of an interview that Paris Schutz of WTTW, the PBS channel in Chicago, did on the expansion of the child tax credit. Jeremy Rosen argued for and I argued against. Funny story: I got on the Zoom and within a minute or two Jeremy got on. I didn’t know who he was, figuring he might be the interviewer. We got into a friendly chat about where he lives, working during the lockdown, etc. Then he said words to the effect, “This Hoover guy is sure to have a...

Read More »

Henderson on Good and Bad Inequality

My Policy Ed video for the Hoover Institution’s PolicyEd video series is out. Here it is on YouTube. A summary of the 4-minute video: Both good and bad income inequality exist. Good inequality comes from entrepreneurial innovation that improves the lives of consumers, even if the inventor gets wealthy. On the other hand, using political muscle to get rich leads to bad inequality, as it comes at the expense of consumers. It is vital to have...

Read More »

From UBI to Anomia

AEI’s Nicholas Eberstadt and Evan Abramsky have eye-opening answers to a jarring question straight out of Richard Scarry: What do jobless men do all day?  Background: Thanks to the American Time Use Survey (ATUS) from the Bureau of Labor Statistics, we have detailed, self-reported information each year on how roughly 10,000 adult respondents spend their days—from the moment they wake until they sleep.1 These surveyed Americans include prime-age men who are not in...

Read More »

What is this “monetary policy” that you refer to?

Tyler Cowen recently linked to a study by Alina Bartscher, Moritz Kuhn, Moritz Schularick, and Paul Wachtel of the effects of “monetary policy” on racial inequality. The study focuses specifically on the effect of unanticipated monetary shocks on racial inequality: For the empirical analysis, this paper relies on the most widely used monetary policy shock series – the (extended) Romer-Romer shocks (Coibion et al., 2017) as well as different financial market surprise...

Read More »

Romney’s child allowance proposal

Mitt Romney has proposed a child allowance of $4200/year for children under age 6 and $3000/year for children age 6 to 17, which is gradually phased out for people making over $200,000 (depending on the child’s age.) It is to be paid for without boosting the budget deficit, by reducing certain other poverty programs and also eliminating certain tax deductions, such as what’s left of the SALT deduction. (This last element is one of my favorite parts of the plan.) I...

Read More »

The equity and efficiency of SALT cap repeal

There’s currently some discussion in Washington DC about repealing the limitation on the deductibility of state and local taxes (from one’s federal taxes.) Back in 2018, the US government began limiting SALT deductions on federal income taxes to no more than $10,000/taxpayer. Repeal of this provision would have effects on both economic efficiency and economic equity: Efficiency: Repeal would cause many more people to itemize their taxes, which would increase the time...

Read More »

Economic Questions About the “Temple of Democracy”

Is it true, as House Speaker Nancy Pelosi claimed, that Congress is a temple of democracy (“U.S. Capital Police Officer Brian D. Sicknick, who died after assault on Capitol, Protected With a Kind Touch,” Washington Post, January 8, 2021)? She said: The violent and deadly act of insurrection targeting the Capitol, our temple of American Democracy, and its workers was a profound tragedy and stain on our nation’s history. This invites a reflection on how Congress,...

Read More »

Three Economists Walk Into a Discussion, Part 1

On September 15, the Stanford Institute for Economic Policy had a virtual discussion about both Covid-19 and the views of the two major presidential candidates. The moderator was Gopi Shah Goda, deputy director of, and senior fellow at, SIEPR and the two interviewees were Kevin Hassett, who had been chairman of the Council of Economic Advisers under President Trump and Austan Goolsbee, who had had the same job under President Obama. I watched it live. I’ll hit some...

Read More »

O’Rourke on the Millennials and Socialism

As soon as children discover that the world isn’t nice, they want to make it nicer. And wouldn’t a world where everybody shares everything be nice? Aw … kids are so tender-hearted. But kids are broke — so they want to make the world nicer with your money. And kids don’t have much control over things — so they want to make the world nicer through your effort. And kids are very busy being young — so it’s your time that has to be spent making the world nicer. This is...

Read More »

Rosewater’s River of Wealth

Second in a #ReadWithMe Series The Rosewater Foundation’s inflation-adjusted $87 million endowment represents roughly $700 million, not billion, in today’s dollars.  Nothing to sneeze at, but I apologize for the error in my first entry.  I must have had federal stimulus bills on my mind… I have now read the second quarter of Rosewater.  Eliot Rosewater has walked away from high culture, a beautiful French wife, and charitable support of the arts – returning...

Read More »