Diverse

R is for Rentier

April 5, 2014
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The latest instalment to the Insider’s Economic Dictionary. Race to the bottom: A term for dog-eat-dog competition by which countries compete by cutting wage levels so as to produce in the cheapest market, not by raising wages and labor productivity. The effect is to shrink the circular flow between producers and employee-consumers, leading to...

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P is for Ponzi

April 3, 2014
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Part P in The Insiders Economic Dictionary. Panic: The abrupt culminating stage of the business cycle, in which inflated asset prices collapse in price as financial securities and properties are sold to pay off debts. Parallel Universe: The objective of modern economic methodology. A hypothetical exercise in science fiction depicting a world that conceivably...

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N is for Neo-Serfdom, O for Offshore Banking

January 23, 2014
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Part N, O in The Insiders Economic Dictionary. Neoclassical economics: The school that arose in the last quarter of the 19th century, stripping away the classical concept of economic rent as unearned income. By the late 20th century the term “neoclassical” had come to connote a deductive body of free-trade theory using circular reasoning...

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M for Marginalism

January 22, 2014
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Part M in The Insiders Economic Dictionary. Malthus, Thomas Robert (1766-1834): British economist and spokesman for its landlord class. His Principles of Political Economy (1820) countered Ricardo’s critique of groundrent by pointing out that landlords spent part of it on hiring coachmen and other servants and buying luxury products (coaches, fine clothes and so...

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L is for Land

January 19, 2014
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Part L in The Insiders Economic Dictionary Labor: The labor theory of value resolves the value of products and capital goods into labor costs, while Say’s Law focuses on how employees spend their wages. Hence, labor often is euphemized as “consumers” rather than focusing on the terms of their employment by capital. Labor capitalism:...

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J is for Jubilee, K for Kleptocrats

November 26, 2013
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Part J in The Insiders Economic Dictionary Jubilee Year: In Judaic Law (Leviticus 25) a Clean Slate to be proclaimed every 50 years annulling personal and agrarian debts, liberating bond-servants to rejoin their families, and returning lands that had been alienated under economic duress. Long thought to have been merely a literary religious ideal,...

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I is for Ideology

November 24, 2013
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Ideology: A set of assumptions so appealing that one looks at their abstract logic rather than at how the world actually works. (See Insanity.) Ignorance: Socrates said that ignorance was the source of evil, because nobody knowingly commits evil. But by pursuing their own narrow interests, the financial and property sector destroy the social...

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H is for Half-Life

November 22, 2013
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Part H in The Insiders Economic Dictionary Half-life: In physics, the time it takes for half the mass of a radioactive element to decay into the next-lower isotope or element, typically ending in a stable and inert element such as lead. By extension, the time it takes for an economic theory or ideology to...

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F is for FIRE sector

September 23, 2013
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Part F in The Insider’s Economic Dictionary Factoid: A hypothesis, rumor or story so consonant with peoples’ preconceptions that it is accepted as a fact or working assumption, even though it often is made up a priori. Among the most notorious examples are the ideas of diminishing returns, equilibrium, that privatized ownership is inherently...

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E is for Earned Income

September 16, 2013
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Part E in The Economics Insiders Dictionary. Earned income: Wages or profits earned by labor or capital for their role in producing goods and services. As such, earned income excludes economic rent and interest, which are property and financial returns that must be paid out of profits and wages. Ebitda: An acronym for earnings...

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