Intangible Assets

I’ve been digging through some historical tax receipts data (#NerdAlert) to determine whether investment income — defined as net income from taxable interest, dividends, capital gains, and rent — has been rising as a share of gross income. To my surprise, it has been fairly flat at around 10% in recent years (see Exhibit 1). (more…)

QE & Inequality

I believe that the policies we have undertaken have been meant to generate a robust recovery.1

Effective demand is dead in the water.2

Quantitative easing…is that, like, making math easier?3

Well, goodbye to all that.  Until the next time, Quantitative Easing.

For normal people with more interesting lives, I imagine articles headlined with the words “quantitative easing” prompt a mild degree of nausea and / or disinterest.  As for me, for the last six years4 I’ve found it hard to avoid reading pieces on the unparalleled series of unconventional monetary policies: QE 1, QE 2, Operation Twist, QE 3.  So much juicing of the financial markets, so much time I will never have back, so many unintended consequences nobody can foresee. (more…)

Pope Francis’s Critique of Capitalism and the Quest for the Good Life

Raphael’s The School of Athens. Taken on a visit to the Apostolic Palace in the Vatican, 2004.

Last month, FT Alphaville’s Izabella Kaminska picked up a potent critique of free-market capitalism from Pope Francis’s first Apostolic Exhortation.1  I must confess, I’m not a regular reader of papal exhortations—indeed, papal pronouncements of any variety tend not to make my “to read” list2—but the snippets Kaminska selected gave me pause. (more…)