News
Recent posts and articles from IGEG fellows, advisers, experts and scholars.
The Anti-Liberty Lobby Those who claim the right to others’ labor would fit in with slaveholders
Why do so many propose policies that undermine the never-ending quest to create a government that ensures liberty and protects person and property, as envisioned by the American Founders? Is it out of a desire for political power or ignorance of the consequences of...
Tax Reform for the Real World Government revenue forecasts fail to account for human behavior
There is an old adage that entrepreneurs often find to be true, and that is that things take three times as long and cost three times as you much as you thought. The Republicans claim they are going to get tax reform done this year — but this is not going to happen...
Breaking the Monopoly on Money The federal government shouldn’t block digital funds
If mankind can figure out how to give everyone instant communication and all the world’s knowledge via the smartphone, why are we not smart enough to figure out equally convenient, quick, low-cost and secure ways of paying for goods and services to everyone on the...
Destroying Financial Privacy Overzealous money laundering rules subject the innocent to suspicion
Do you want your relatives, friends, business competitors and government bureaucrats to know precisely how much wealth you have, in what form, and how you spend all of your money? Most people were appalled when they learned the extent of monitoring of telephone and...
The Real Deniers Elites dismiss the costs of their climate policies borne by the less fortunate
No one knows what is going to happen 100 years from now — what problems human beings will face and what advances they’ll make. Are you willing to double your electrical bill — to European rates — to reduce global temperatures by two-tenths of 1 degree 100 years from...
Wrong Questions, Wrong Measures Government must measure spending effectiveness by what is accomplished, not by how much is spent
Which portion of government spending provides little or no value? The president just released his budget proposal, and the predictable chorus of complaints immediately began from those who want more spending for “whatever.” A quarter of a century ago, I was leading an...
Population Death Spiral High social insurance taxes cause a drain of productive citizens
Vilnius, Lithuania It is hard to succeed if everyone is leaving. Some of the former communist countries are suffering from a population death spiral, with double-digit population declines over the last 25 years, as can be seen in the enclosed table. The problem is not...
The Problem of European Divergence Nations with freer economic systems prosper while others lose ground
Zurich, Switzerland “It was the best of times, it was the worst of times” (with apologies to Dickens). Despite the attempts to unify Europe into an economic and partial political whole over the past 70 years, the grand experiment is unraveling, and it increasingly...
Why the Revenuers are Always Wrong High-tax advocates fail to acknowledge that tax cuts stimulate growth
If you were really hungry and given the choice of half of an eight-inch pizza or a third of a twelve-inch pizza, which would you choose? Already, the normal group of know-nothings among the political class and the press are proclaiming that President Trump’s proposed...
Shut up and Go away Questioning conventional wisdom is greeted with a repellent response
Columbia University, from which I have a degree, has set aside rooms where straight white males — like me — are told they are unwelcome. How should I respond to their annual fund drives? When I was at Columbia, the students were protesting in favor of free speech, not...
In Praise of the Price System Rewarding efficiency is more effective than punishing inefficiency
Kinder and gentler governments use market-based price incentives and less coercion. But all too many government officials forget about the superiority of the price system, and resort to the threat of or actual violence to get the people to do what they want. Business...
Falling down on the legislative job Congress is largely responsible for its own dysfunction
The administrative state began in earnest 130 years ago with the creation of the Interstate Commerce Commission in 1883, which was a major power giveaway by Congress to an independent agency. From that time, Congress has continued to delegate law and rulemaking to...
Thoughtless Actions that Provoke Terrible Consequences Today’s leaders seem little wiser than the foolish who set off World War I
April 6 marks the 100th anniversary of the U.S. entry into World War I — a war that claimed the lives of about 38 million people. It is correctly known as the “war about nothing,” so why was it fought? The United States entered the war near the end, after much of...
Thinking Clearly about Tax Reform Cutting tax rates would boost government revenue
President Trump has said he is going to move on to tax reform after the debacle with Obamacare repeal. Is there any reason that we can expect greater success with the tax reform effort? I argue no, unless the rules in the House and Senate are modified, and those in...
Testing for Turncoats REPUBLICANS WHO FIGHT BUDGET CUTS HAVE ABANDONED THEIR PRINCIPLES
Do you think the federal government spends too much? Taxes too much? And should reduce the deficit? Most Americans agree except when it comes to specific spending programs they like. The people “hire” members of Congress to make these difficult choices. Much of what...
Gauging who would Gain from Russian Interference HILLARY CLINTON, NOT DONALD TRUMP, HAD THE IDEAS THAT WARMED HEARTS IN MOSCOW
Are you shocked that the Russians might have had an interest in who won the U.S. presidential election? Nations have always had an interest in who rules the nations they deal with — both opponents and friends — and that they often try to influence the outcomes should...
Aim Higher Rapid growth is possible if regulations are pruned
What changes in government policy should be made to achieve an annual average of 4 percent economic growth? That is the question President Trump and his team should be asking if they are serious about achieving a lower deficit while increasing spending on defense and...
Hype-Driven Disasters Promoting favorite beliefs without reasonable cause inevitably leads to deplorable outcomes
It can be dangerous to believe one’s own or others’ hype. A couple of weeks ago, 180,000 people living downstream from the nation’s highest dam, the Oroville Dam in California, had to be evacuated because the dam’s main and emergency spillways were damaged due to...