Weekend update.

At NRO, Larry Kudlow suggests the dollar’s decline is causing Egypt’s food riots and destabilizing the developing world.

From 1998, Jude Wanniski recounts how the 1970s weak collar caused revolutions in Iran and Iraq.

On The Kudlow Report, Don Luskin assesses the world inflation situation and how it will impact the U.S.:




At Asia Times, David Goldman recommends buying oil stocks.

On Fox Business News, David Malpass discusses Egypt.

Steve Forbes delivers a superb address at the Reagan Library, including a substantial discussion of the dollar and gold:



At Forbes, Nathan Lewis explains that gold-backed currency is the most stable and reliable.

The NY Sun editorializes on the recent decline in gold.

At Asia Times, David Goldman notes that U.S. exports to China are one of the economy’s few bright spots:



From AEI, John Makin examines the prospects of the yuan becoming a world currency.

The Asian Financial Forum releases a summary of Robert Mundell’s recent speech.

On Alhurra TV, Steve Forbes discusses how to create more jobs (the opening is in Arabic but the interview is in English):



In Forbes, Reuven Brenner reports on Federal Reserve bookkeeping.

From City Journal, Nicole Gelinas makes a strong argument for a 21st century Reaganomics.

The WSJ analyzes the Financial Crisis Inquiry Report:

The questions to which Americans need answers are: Why did the pursuit of riches lead to catastrophe in 2008, and why was the crisis concentrated in housing and the mortgage-securities markets?

Democrats on the commission mention the role of Federal Reserve monetary policy in creating a credit bubble, but they spend far more time arguing that the Fed should have prevented the consequences of this subsidy for financial products with heavier regulation of lending. But when have regulators ever in history had the wit or will to stop a credit-fueled financial mania? Read your Kindleberger, guys.

Also in The Journal, Stephen Moore recounts conservative disappointment at Mike Pence’s decision not to run for president.

Cato’s Dan Mitchell notes the Laffer Curve effect of tax changes in France.

Weekend round up.

Business Week reports Robert Mundell opposes yuan appreciation as it could destabilize the currency.

At The Washington Times, David Malpass advocates a spending cap in exchange for the debt limit increase.

On Fox News, Steve Forbes discusses the dollar’s impact on fuel prices:



At Asia Times, economists Hossein Askari and Noureddine Krichene link high commodity prices to currency inflation.

Cato’s Dan Mitchell cites a recent paper on the negative impact of British tax hikes.

At IBD, Alan Reynolds argues spending cuts won’t reduce economic growth.



On International Liberty, Dan Mitchell calls attention to a new poll that shows public support for spending cuts over tax increases to address the deficit.

Bloomberg reports Fed transcripts show the central bank disregarded housing bubble warnings in 2005, maintaining a cautious rate-increase policy.

On Fox News, Steve Forbes disputes the claim that lower wages are good for the economy:



At Asia Times, David Goldman is bearish on gold.

On Fiscal Times, Bruce Bartlett analyzes world corporate tax rates.

In The NYT Magazine, Keynesian Paul Krugman suggests the euro was a mistake.

Weekend round up.

On RCM, John Tamny argues lower housing prices are good for the economy.

Also on RCM, Larry Kudlow advocates pro-growth tactics to improve the employment picture.

From The Heritage Foundation, Steve Forbes makes the moral case for capitalism:





The NY Sun advocates an audit of Federal Reserve bail outs.

In The WSJ, John Fund reports the Americans prefer spending cuts to tax increases by 59% to 30%.

The Huffington Post reports just how grim the unemployment data really is:



At The San Francisco Chronicle, Lisa Smith summarizes the Laffer Curve.

From AEI’s The American, Donald Losman rejects deflation predictions, citing rising gold.

Also in The Journal, Holman Jenkins notes weakening support for the euro among former supporters.

Even faced with maximal turmoil, Europeans are still trying to have it both ways. The bailout to-ing and fro-ing by European authorities is conditioned largely on their unwillingness to choose between conflicting goals—on one hand, a continent of competitive and open economies; on the other hand, a "social model" that cushions established interest groups and voting blocs from the stress of competition.

A very different approach to managing the current crisis is imaginable. Put the European Central Bank in charge of printing liquidity to prop up the continent's banks. (Right now it's printing liquidity to prop up governments, which are propping up the banks.) Let badly indebted governments go into default and negotiate more manageable terms with their creditors (mostly banks). Let politicians in these countries invest their limited political capital in promoting growth rather than austerity. Let them cut taxes and deregulate their labor markets.

This would certainly sound preferable to voters than job-killing tax hikes and spending cuts to appease far-off German taxpayers who are being dragooned into refinancing their insupportable debts. The most encompassing description of Europe's problem, after all, is the one not mentioned enough: a shortage of growth.

Friday items.

At Forbes, historian and Econoclasts author Brian Domitrovic suggests higher economic growth, even at lower tax rates, would reduce the deficit.

On Asia Times, David Goldman agrees with Goldman Sachs’s estimate of $1650 gold.

At The Kudlow Report, Don Luskin abandons classical sound money and endorses monetary stimulus:




In The WSJ, monetarist Allan Meltzer argues Milton Friedman would opposed quantitative easing.

On The NYT, Paul Krugman points out that austerity has not been positive for Germany’s economy:



In The Financial Times, Brazil complains about U.S. monetary policy.

On CNBC, David Malpass analyzes the economy:



On Forbes, Reuven Brenner proposes a novel way to resolve the housing crisis.

The Shadow Stats site explains that inflation is significantly higher than CPI indicates:



In an op-ed, David Stockman strikes a hopeless note about the budget deficit.

Wednesday round up.

Winning the original analysis of the week prize, Paul Kix suggests a stronger Iraqi dinar enabled the surge's success (H/T to Vlad Signorelli at Bretton Woods Research).

At the Kudlow Report, Kudlow compares foreign growth rates to the U.S.:

At New World Economics, Nathan Lewis discusses The Fourth Turning which suggests the U.S. is in a 20-year "winter" phase.

Steve Forbes interviews Mark Cuban on entrepreneurship.

At Business Insider, Henry Blodget reports lower income tax rates haven't lead to higher savings or investment. The analysis omits what savings and investment would have looked like after the Great Inflation's tax bracket creep without the Reagan tax rate cuts. Also excluded is the impact of capital gains tax rates: higher in 1986, lower in 1996. A third factor is dollar direction: falling during the late 1970s; 2001-2008 similarly corresponds with a falling dollar.

Don Boudreaux rebuts the recurring myth that World War II was a successful example of Keynesian stimulus.

Economics of Contempt lists prominent economic commentators -- many of whom are supply-siders -- who denied a housing bubble was forming.

At Zero Hedge, Tyler Durden notes that the volatile currency market is now at $4 trillion per day, dwarfing equities and Treasuries.

Former Bush speechwriter Michael Gerson provides a demand-side analysis of the tax debate.

Politifake.org offers an Art Laffer motivational poster.

Tuesday round up.

Tino at Super-Economy offers a great post on optimum tax rates, the Laffer Curve, and European vs U.S. per capita tax revenue and rates. (H/T: The American)

In The NYT, Joseph A. Massey and Lee M. Sands explain that raising a currency's exchange rate won't fundamentally change the terms of trade.

At The WSJ's Real Time Economics blog, Bob Davis says China's failure to raise the yuan may stimulate protectionist sentiment.

At Cafe Hayek, Don Boudreaux argues increased trade with China is best for world peace.

In The WSJ, George Melloan suggests Federal Reserve policy is damaging market confidence.

At The Kudlow Report, Stephen Moore discusses the federal deficit:

In First Things, The Anchoress provides a good budget chart and a great NYT link.

At RCM, John Tamny warns against more housing subsidies.

At The American, Scott Shane explains why small businesses aren't hiring.

At Alhambra Investments, Joseph Y. Calhoun, III wonders if the bond market is a bubble.

Newsweek's Andrew Romano claims fiscal deficits will force Republicans to raise taxes.

Monday update.

In Forbes, John Tamny sees housing weakness as key to economic recovery.

At MarketWatch, Andy Xie argues loose money in the developed economies will raise inflation in emerging markets, which will then flow to developed economies.

Cato's Alan Reynolds rebuts the idea that inflation is impossible due to high unemployment.

In The WSJ, Hong Kong official Julia Yeung highlights China's steps towards yuan convertibility.

On Fox News, Todd Buchholz believes stimulus spending has damaged the economy.

At Big Government, Dan Mitchell critiques CBO's economic model for ignoring incentives.

At Bloomberg, Kevin Hassett suggests Keynesianism is the real voodoo economics.

NRO's Kevin Williamson questions whether the lack of an inverted yield curve mean the economy is recovering.

At Cafe Hayek, Don Boudreaux explains how higher Social Security taxes impact employment.

Wednesday round up.

In The Washington Times, Richard Rahn compares Obamanomics to Reaganomics.

From Monday, Larry Kudlow explains the flaws in David Stockman’s NYT attack on tax cuts.

On The Kudlow Report, David Goldman and Wayne Angell analyze Fed policy.

At First Things, Goldman comments further on demographics and deflation.

Brian Wesbury suggests the economy is better than some commentators let on.

Pajamas Media's Roger L. Simon compares this week's op-eds by Treasury's Tim Geithner and Art Laffer.

The Financial Times' Ambrose Evans-Pritchard points out that despite not having Fannie/Freddie, the Community Reinvestment Act, or an "artificially low" Fed Funds Rate, some European nations suffered greater real estate bubbles than the U.S.

Amity Schlaes suggests tax policy should focus on raising revenue, not influencing behavior.

Thursday round up.

On The Kudlow Report, David Stockman wants full-fledged fiscal austerity (spending cuts + tax cuts).

Kudlow comments further on the discussion.

John Tamny analyzes Paul Krugman's solutions to the recession.

From last week, Alan Reynolds responds to Ezra Klein on stimulus.

In The WSJ, Seth Lipsky explains how much salaries have declined in terms of gold.

In an April interview, George Gilder hopes Tea Parties will stress tax cuts not spending cuts.

David Wessell reports free trade's comeback.

CEO Ziad K. Abelnour argues we need the rich.

National Review's Kevin D. Williamson regrets extension of the homebuyer's tax credit.

U.S. Rep. Scott Garrett (R-NJ) suggests Fannie Mae and Freddie Mac is the root cause of the subprime crisis.

Liberal economist Josh Bivens makes the case for growth over deficit phobia.

Former Treasury official John B. Taylor opposes the financial reform bill.