The Poverty of Neoclassical Economic Analysis, by CPEG’s Ron Baiman, is a response to recent denunciations of economic analysis regarding economic proposals from U.S. Presidential Candidate Bernie Sanders. Baiman writes “When I first got wind of the denunciation of Prof. Gerald Friedman’s Bernienomics impact estimates by prominent liberal Economists, two questions came immediately to mind. Who were these “liberal economists” and what were their objections? A little googling around got me the first answer in a jiffy. The liberal economists were four former Chairs of the Council of Economic Advisors (CEA) under Democratic Presidents Clinton and Obama: Alan Kreuger, Austan Goolsbee, Christina Romer, and Laura D’Andrea Tyson. It took more time and more work to establish the second answer.” Click below to read the full essay.
In his February 5th Op-Ed piece, Paul Krugman vilifies the Sanders supporters for their position on health care in the United States and their evaluation of Obamacare in particular. He starts out with an anecdote about Ted Cruz, but for the rest of the article ignores the subject of how much the Republicans hate Obamacare. Yet it is the right — driven by the insurance companies, the pharmaceutical companies and other business interests that seem to elude Krugman — that really hates Obamacare. Instead he focuses his vitriol on the left.
Click below to read CPEG Notes, a series of quarterly analyses of current economic reality by the Chicago Political Economy Group. In this edition: Prof. Joseph Persky examines the limping U.S. economy, Mel Rothenberg’s International Note examines the European refugee influx and economic crisis, Ron Baiman talks labor and the fight for $15, Bruce Parry talks trade and the TPP, and finally Bill Barclay dives into high frequency trading and a court case regarding “spoofing”.
In an October 1st address to the UIC chapter of the State Universities Annuitants Association (SUAA), CPEG’s Bill Barclay explained the potential benefits of a small LaSalle Street Tax (also known as a Financial Transactions Tax), on Chicago’s two large trading markets. Barclay suggested that some of the estimated $10-12 Billion in revenues that could be generated by the tax could be used to make up for the decades-long failure of the Illinois legislature to keep their pension funding promises.
The SUAA, with over 1,600 members, exists to promote the individual and collective interests and welfare of its members and of all UIC retirees. You can download Barclay’s presentation here (powerpoint), or view the full presentation on Youtube.
At a July 19th Community Forum entitled The Illinois Budget Crisis, Workers’ Rights and Revenue, CPEG’s Ron Baiman gave a presentation on how a LaSalle Street Tax (also known as a Financial Transaction Tax), could save the Chicago and Illinois budgets and clean up exchanges such as the Chicago Mercantile.
In addition to the potential for billions in revenue for ailing budgets, Baiman noted that, in direct contradiction to frequent fears cited by opponents of the tax, “There are Financial Transactions Taxes on various financial markets in the United Kingdom, Switzerland, Hong Kong, Brazil, France, Singapore and other countries; in most cases the tax is at a higher rate than proposed under [current legislation]. These are all large markets that have not been hurt by the tax and exchanges have not moved away.”
Download the full presentation (.pptx)