Assorted links

by on December 6, 2011 at 1:15 pm in Uncategorized | Permalink

1. Coasean sentences from Australia, religion and sex.

2. The UK: even less wealthy than they thought they were.

3. The Bundesbank and its limits, and here (very important), comment from Felix, and Ezra from Germany on Germany, which is probably the best blog post of the day.  Willem Buiter has good remarks, the eurozone alone could get its own “Assorted links” column every day.

4. Markets in everything, American horror theatre.

5. Visa develops Rwanda payments network.

6. The price of rice in North Korea.

Ilya December 6, 2011 at 1:27 pm

Fairly certain this is Australia, not New Zealand.

Rahul December 6, 2011 at 1:47 pm

Catholic church?

axa December 6, 2011 at 3:19 pm

#1: yes indeed: Australia. Indulge yourself! Sorry, but the brothel established first =)

http://www.lapetitearoma.com.au/

TallDave December 6, 2011 at 1:50 pm

I agree, Ezra’s post is excellent.

They are like a doctor who, faced with an unhealthy patient presenting signs of a heart attack, demands to see the patient lose weight before they will administer the life-saving treatment.

In this case the patient wants expensive diabetes medication but is loathe to relinquish his chocolate cake; ironic that that’s a fair approximation of how government health-care systems tend to ration.

Enrique December 6, 2011 at 9:07 pm

A good Cosian would note that it doesn’t matter who was first in time; what matters is which of the two competing uses is the highest-valued use, and that if property rights are well-defined and transferable, then the party that values the church or the brothel the most wil buy the rights to that use

ad*m December 6, 2011 at 2:42 pm

If Klein’s is the best blog post on Germany I am not fearful:

“I worry this makes the Germans [...]. They do envision a future that includes sacrifice on their part: eurobonds that raise Germany’s cost of borrowing and a bailout fund [...] that they contribute heavily to.”

There we go again. The root problem with the Euro is its huge democratic deficit:

Klein, as a true part of the US elite, spoke to the German elite. And they may well be sensitive to the truly absurd pressure on them to ease.

But Klein did not ask the voters. And no one is asking the voters what their taxpayer money will be spent on, because they are afraid of the answer they will get.

See for example how van Rompuy will ram through the treaty changes without any vote:
http://ca.finance.yahoo.com/news/exclusive-van-rompuy-urges-fast-163646050.html

The euro was and is rotten to the core, forced upon the taxpayers. That is what is visible every day now.

prior_approval December 7, 2011 at 3:34 am

Klein also didn’t talk to the people running Mercedes, Siemens, or the French Alstom (which just won a major part of 400 train deal with DB, along with a Spanish partner), etc.

Most people in this Bundesland (headquarters to things like the world’s largest ERP software house) find the euro more than accceptable to the bottom line – it is how they earn their money to pay their taxes, after all. Admittedly, most East Germans see the EU in terms of their own history (and who nows, they might be all wrong – after all, Brussels is just like Moscow, right?), and there is no reason to ignore the Linke, the not only spiritual descendants of the SED, when they criticize capitalism, is there.

prior_approval December 7, 2011 at 3:35 am

Damn – ‘they might NOT be all wrong’

ad*m December 7, 2011 at 1:20 pm

You write “Most people in this Bundesland (headquarters to things like the world’s largest ERP software house) find the euro more than accceptable to the bottom line ”

I have two datapoints: polls such as this one: “04 December 2011, 22:33 CET: 60% of Germans think euro bad idea: poll”
http://www.eubusiness.com/news-eu/finance-economy.dv8
and also, the unwillingness of any of the elite to put this in front of the voters/taxpayers in any of the involved countries.

I write “And no one is asking the voters what their taxpayer money will be spent on, because they are afraid of the answer they will get.” and can support it with data like this.

Show me the data that supports what you write.

n=1 December 6, 2011 at 4:09 pm

Please identify paid content in links. Thanks!

ciaran December 6, 2011 at 9:52 pm
[Insert here] delenda est December 6, 2011 at 11:38 pm

I thought Ezra’s comments were analytically correct but prescriptively pretty dumb.

I don’t recall him opposing Obama’s ‘big bet’ on Obamacare or the non-stimulus for example. In fact, I’m pretty sure he downright advocates progressives placing high-risk big bets on progressive policy in general.

The one part he forgets to analyse explicitly is that these kinds of reforms ONLY happen under a crisis. Germany would be stupid to listen to the Ezras, Nouriels, Martin Wolfs et al of this world, happily, no matter what their elites might tell the nice-sounding American, they aren’t stupid and aren’t listening.

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