Economics

Venezuela running out of toilet paper

"Venezuela’s socialist government is scrambling to find new sources for toilet paper as consumer supplies run out nationwide. Shortages of key supplies like milk, sugar, coffee, butter and cooking oil have grown much worse in just the last month, amid a decade-long trend of rising inflation and increasing consumer prices. Venezuelan Minister of Commerce Alejandro Fleming told state-run AVN News that the government would respond by 'saturating the market' with 50 million rolls of imported toilet paper, in hopes of calming the populace. However, CNN noted that he also said Venezuelans go through about 150 million rolls of toilet paper every month." Continue reading →

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Prohibition Caused the Greatness of Gatsby

"Gatsby comes from a dirt-poor family and is a big dreamer, as well as a big risk taker. He keeps his past shrouded in a web of lies and half-truths as he sets out to remake himself into a person of wealth and prominence. This is the ideal personality for making it big in black markets. The mysterious Jay Gatsby indeed does become 'filthy' rich by selling illegal booze. During Prohibition doctors could prescribe 'medicinal liquor' for their patients for literally dozens of ailments, including alcoholism. Gatsby sees this as an opportunity and establishes a chain of drugstores with the help of organized crime and corrupt politicians." Continue reading →

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Who will pay more under Obamacare? Young men

"Obamacare limits the amount insurers can charge older enrollees to three times the amount charged for younger participants. Men usually pay less than women, since they typically visit the doctor less frequently. The Affordable Care Act, however, doesn't allow insurers to charge different rates to men and women. Taken together, men ages 25 to 36 could see rate increases greater than 50%, according to Milliman's O'Connor, but women of the same age will only see their premiums creep up 4%. Meanwhile, men age 60 to 64 could see their premiums drop by 12%." Continue reading →

Continue ReadingWho will pay more under Obamacare? Young men

Law Professor Wants To Do Away With Most C’s Because They Make Students Feel Bad

"Hey, why even make the kids take the classes? Let's just give them degrees! With honors! Law schools should 'substantially eliminate' 'C' grades because they're stress-inducing and make it more difficult for students to get jobs, a law professor argues in the University of San Francisco Law Review. Does this prof not realize that if everyone is given a grade of B or better that a college degree becomes even more useless than it now is in judging a graduate for employment? I give the prof an F for failure to understand the real world consequences of his proposal." Continue reading →

Continue ReadingLaw Professor Wants To Do Away With Most C’s Because They Make Students Feel Bad

Student Loans are About to Cross the Trillion Dollar Mark

"In the first quarter of 2013, students owed $986 billion in student loans, up $20 billion from $966 billion in the fourth quarter. Student-loan balances outstanding have soared 70% in the past five years, thanks to government backing of loan programs---which has done nothing but sent the price of a near useless education soaring. Prices fall and quality improves where the government doesn't intervene (see: cell phones, televisions personal computers). Prices soar and quality fall where the government gets heavily involved (see: the health sector and education sector)." Continue reading →

Continue ReadingStudent Loans are About to Cross the Trillion Dollar Mark

Calculating the ROI of a 4-Year College Degree

"People tend to assume that getting a college education is a good financial investment. But a new Brookings report 'Should Everyone go to College?' finds that the actual value of a 4-year bachelor’s degree can vary dramatically depending on factors such as field of study, type of college, graduation rate, and future occupation. The more selective the school, the higher the return on investment (ROI) as calculated by Payscale. The bad schools are pretty bad, as Payscale found that 1 in 5 have a negative ROI over 30 years. The lifetime earnings of a graduate also varies widely with the type of major and subsequent occupation." Continue reading →

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Bankers: College debt bubble mimics housing bubble

"A group of bankers have just dumped two more problems on the Federal Reserve's plate. The Federal Advisory Council, made up of 12 bankers who meet quarterly to advise the central bank, warned that farmland prices are inflating 'a bubble' and growth in student-loan debt has 'parallels to the housing crisis,' which was the primary cause of the Great Recession in the U.S. Bernanke has dismissed parallels between student lending and the subprime mortgage crisis." Continue reading →

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Half of families suffer in NHS hospitals, study finds

"Despite tens of billions of pounds being invested in the NHS, 46 per cent of respondents said they thought standards of care had declined over the past ten years, while just 20 per cent thought standards had risen. Sixteen per cent said they had personally experienced poor care, while another 30 per cent said their relatives had suffered poor care in the past decade - a total of 46 per cent. The figures come in the wake of the Mid Staffs scandal, in which patients were found to be left drinking from flower vases because they were so neglected. NHS casualty units have become like 'warzones' with medics fighting a losing battle to cope with an increasing tide of patients." Continue reading →

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The Bennett Hypothesis: Why College Tuitions Are Out of Control

"Some researchers argue that government subsidies have had the perverse effect of encouraging colleges to increase tuition so as to capture more federal dollars, an effect known in the literature as the 'Bennett hypothesis'. To see how this could work, imagine a school that charged $0 in tuition and fees. Suppose that the federal government then offered $5,000 vouchers to pay for college tuition, but only at schools that charge tuition. Obviously, our hypothetical free school is going to increase tuition to $5,000 a year to take advantage of that money. That’s just money on the table." Continue reading →

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Fast-food worker wage protests spread to Detroit and St. Louis

"On Friday in Detroit organisers were expecting at least 400 workers from at least 60 stores to come out and protest. The action comes a day after two days of similar protest in St Louis, Missouri, which saw 100 workers walk off their jobs at chains like Wendy’s, Domino’s and Jimmy John’s. It also follows similar actions in Chicago and New York earlier this year in what labour experts call the largest such disputes to ever hit the industry. The demonstrations are aimed at highlighting a demand for a $15-an-hour wage and the right to form a union without fear of employer intimidation." Continue reading →

Continue ReadingFast-food worker wage protests spread to Detroit and St. Louis