My Faults My Own

…willing to sacrifice something we don't have

for something we won't have, so somebody will someday.

IN  WHICH Ross Rheingans-Yoo—a sometime artist, economist, poet, trader, expat, EA, and programmer—writes on things of int­erest.

Reading Feed (last update: November 24)

A collection of things that I was glad I read. Views expressed by linked authors are chosen because I think they're interesting, not because I think they're correct, unless indicated otherwise.


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Blog: Marginal Revolution | Lakota America: A New History of Indigenous Power — "[F]or now I’ll just note it is very much in the running for very best book of the year. It brings Native American history to life in a conceptual manner better than any other book I know."


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Blog: Marginal Revolution | Favorite popular music listening for 2019


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Blog: Marginal Revolution | Do social media drive the rise in right-wing populism? — "Overall, we do not find evidence that online/social media explain support for right-wing populist candidates and parties. Instead, in the USA, use of online media

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Elasticities, revisited

Hannes Malmberg commented on my review of Saez and Zucman in response to a point I made about the elasticity of capital supply:

I think you are confusing demand and supply elasticities of capital.

The revenue calculations hinge on the elasticity of capital supply, i.e., how fast capital supply rise with the interest rate (how much more do people decide to save).

The Piketty spiral, in contrast, hinges on the elasticity of capital demand, i.e., how fast the interest rate fall with increasing capital (i.e., how fast firms and companies switch away from using capital when it gets more expensive).

There is nothing theoretically preventing us from having an almost horizontal capital demand curve, and an almost vertical capital supply curve. In such a world, a capital tax raises a lot of revenue, but increasing the savings propensity increase the capital stock without reducing the interest rate. (...)

I think he is basically right, and I'll partially retract section 3A of my

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