Monthly Archives: July 2010

Feather duster ambush

Of course, the Labor party would not have needed to “back down” if it hadn’t inflated the issue with worse-than-WMD hysteria, religious zeal (cf. Ross Garnaut’s invocation of Pascal’s wager) and contempt for contrary evidence. “Julia Gillard has put the pretty wrapping paper of conviction and consensus around Kevin Rudd’s emissions trading backdown. But inside […]

Kay on the theory of value

Brilliant summary of the interaction between differing preferences and judgements in error. “Wherever there is uncertainty, market prices reflect the beliefs of those who are more than averagely sanguine. The result is a reserve of illusory value, constantly depleted by events and replenished by fresh uncertainties. That is why markets display a systematic propensity to […]

Led by lunatics

Mark Lawson’s new book “A Guide to Climate Change Lunacy” (ConnorCourt Publishing, 2010) arrives with brilliant timing, just as Australia gets another chance to make a choice on climate change policies in the 2010 election. Based on his credentials as a respected journalist — he’s a leading science journalist and editor for the Australian Financial […]

A climate ambush

When she took power, Julia Gillard said she wanted a national conversation and ‘deep community consensus’ about climate change. What she has given us, instead, is an election campaign that is, by its nature, guaranteed to produce neither. “I was concerned that if you were going to do something as big to your economy as […]

Watch this

Revenue strong; dividends down. Google invests in ideas you wish you’d had. “Patrick Pichette, chief financial officer, said Google was investing for what it expected to be a big expansion in online markets in the next decade. ‘We think it’s the right thing to do at the moment in the company.’ ” Extract from—Google […]

Krugman’s take on protection

It seems Krugman will say anything to score a point. He wants to argue that insufficient demand (unemployment) is a problem and that redistribution (trade taxes) is not. “…the attempt to place blame for the Depression on protectionism is a sort of Noble Lie, an attempt to scare people into trade policy that’s good for […]

Trade ‘imbalances’ are misleading

Alexandro Jara, the Deputy Director-General of WTO “[R]elying on conventional trade statistics gives a distorted picture of trade imbalances between countries. As we saw when looking at the Chinese content of the iPad, what counts is not the imbalances as measured by gross values of exports and imports, but how much valued added is embedded […]