The idea of a kaleidic economy or society is strongly associated with George Shackle and his vision of Keynesian kaleidics. This essay asserts that the central thrust of the Austrian tradition in economic analysis can be described by the term Viennese kaleidics.
Firms respond to high tax rates and relocate economic activity to lower-tax countries. Thus, the current U.S. corporate tax structure places U.S.-headquartered corporations at a tremendous disadvantage in the global marketplace because other countries have lowered their corporate income tax rates to welcome multinational corporations. This paper discusses the economic implications of corporate taxes.
The authors assess the impact of two groups of economists; mainline economists who regard economics primarily as the science of exchange and mainstream economists who perceive economics primarily as the science of choice.
This working paper explores the use and regulation of bank overdraft protection. It concludes that, absent a demonstrable market failure or demonstration of systematic consumer abuse, restriction on consumer choice of overdraft protection would likely impose substantial costs on consumers and banks with minimal gains.
This paper explores the rise of the fiscal state in the early modern period and its impact on legal capacity. To measure legal capacity, we establish that witchcraft trials were more likely to take place where the central state had weak legal institutions. Further historical evidence supports our hypothesis that higher taxes led to better legal institutions.
The term “tax state” originated in a controversy between Rudolf Goldscheid and Joseph Schumpeter over the treatment of Austria's public debt in the aftermath of World War I and the dissolution of the Austro-Hungarian Empire. This essay explains that Goldscheid's analysis was more on the mark than Schumpeter's, and does so by exploring the logic of interaction between carriers of distinct forms of property-based action: one form is private property; the other form is common or collective property.
It is important to understand that Illinois’s current fiscal crisis is not the result of a single
critical event but rather a series of events in Illinois’s economic and fiscal history. This paper uncovers why Illinois's 2012 budget strategies are unlikely to work.
This paper summarizes the empirical investigations of sixteen state-level institutions. The lesson for both state and federal policy makers is that there are a number of institutional reforms that seem likely to put spending on a more sustainable path.
This study focuses on public sector benefits costs in the state of New Jersey. Along with several other states, New Jersey’s pension system is badly underfunded and health care and other benefits for public sector workers are entirely unfunded.