Beauty and Profit: The Evolution of Beauty (2017) by Richard O. Prum

In 1860 Charles Darwin wrote to a colleague: “The sight of a feather in a peacock’s tail…makes me sick!” What was Darwin’s problem? He had just published On the Origin of Species, laying out his theory of evolution by natural selection. Yet he worried about seemingly maladaptive features of living organisms–like the peacock’s beautiful but cumbersome tail. In a later book, Darwin would argue that sexual selection also plays a major role in evolution. Yet to this day, as Richard Prum complains in his magnificent new book, The Evolution of Beauty, evolutionary biologists dismiss the possibility of anything besides natural selection. Likewise, mainstream economists dismiss the possibility that anything besides competition for profits could account for the economic world around us… . . . → Read More: Beauty and Profit: The Evolution of Beauty (2017) by Richard O. Prum

The Economics Anti-Textbook: A Critical Thinker’s Guide to Microeconomics, by Rod Hill and Tony Myatt

It was the perfect “natural experiment:” in April 1992, New Jersey’s minimum-wage was scheduled to rise from $4.25 an hour to $5.05, while neighboring Pennsylvania’s minimum wage remained unchanged. Princeton economists David Card and Alan Krueger surveyed over 400 fast food outlets in both states, before and after the increase, in order to test the conventional economic wisdom that minimum wages cause unemployment. What did they find? No apparent effect on employment. None. Zip. Economic hell broke loose… . . . → Read More: The Economics Anti-Textbook: A Critical Thinker’s Guide to Microeconomics, by Rod Hill and Tony Myatt

Why Georgists Corrected Predicted the Crisis, and Why Conventional Economists Couldn’t

Land bubbles of varying severity and universality recur roughly every eighteen to twenty years. Like Henry George, modern Georgists attribute recessions and depressions to these bubbles. A huge real estate bubble of the 1920’s preceded the Depression of the 1930’s. That bubble actually began to burst in 1926, three years before the stock market crash . . . → Read More: Why Georgists Corrected Predicted the Crisis, and Why Conventional Economists Couldn’t

Elasticity! Why cutting gas taxes won’t lower prices, but will fatten oil companies

When Clinton and McCain proposed cutting gas taxes, I asked my environmental economics students, “So how much do you think drivers will save?” The students diligently Googled the numbers. “Well,” said one, “the federal gas tax is 18.4 cents and the average state tax is 28.6 cents, so that’s 47 cents a gallon drivers will . . . → Read More: Elasticity! Why cutting gas taxes won’t lower prices, but will fatten oil companies