tag:blogger.com,1999:blog-7539577136486286096.post3703928447578539426..comments2024-03-28T02:46:41.090-05:00Comments on Supply and Demand (in that order): The Rhetorical Gap far Exceeds the Policy Gap: Further Evidence and InterpretationCasey B. Mulliganhttp://www.blogger.com/profile/03317454408275318282noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-7539577136486286096.post-38082262948741252592008-10-22T19:47:00.000-05:002008-10-22T19:47:00.000-05:00This is probably true given normal circumstances b...This is probably true given normal circumstances but Obama may get elected under abnormal circumstances...those being with full control of congress. <BR/><BR/>In other words he will be in the same position FDR and LBJ were in - the two most liberal presidents of our time...and their policies have clearly had a huge effect on our economy - multiple times more than your estimates.HispanicPundithttps://www.blogger.com/profile/10220166238164432290noreply@blogger.comtag:blogger.com,1999:blog-7539577136486286096.post-7764488536970898722008-10-21T14:52:00.000-05:002008-10-21T14:52:00.000-05:00I realize you are just making analogies, but someo...I realize you are just making analogies, but someone--let it begin with me--needs to point out:<BR/><BR/>(a) It's too bad that the political parties coordinate on the same awful economic policies,<BR/><BR/>(b) Coke and Pepsi are chemically different. Pepsi is sweeter and that's why it wins taste tests, when you're just taking a sip or two. Failure to recognize this is what led to the "New Coke" fiasco.<BR/><BR/>(c) Nobody forces you to buy Coke or Pepsi (or root for sports teams). Yet one of these two clowns is going to be "my" president even though I am certainly not voting for either of them.Bob Murphyhttps://www.blogger.com/profile/04001108408649311528noreply@blogger.comtag:blogger.com,1999:blog-7539577136486286096.post-19377632767856862762008-10-21T13:49:00.000-05:002008-10-21T13:49:00.000-05:00The obvious analogy is its sports teams. People li...The obvious analogy is its sports teams. People like to divide themselves in groups, root for one side over other, get emotionally riled up, identify with your team supporters, hate the other team, exaggerate the importance of victory etc. Fulfills some leftover tribal instincts? In ancient Rome the supporters for the Chariot racing teams coincided with political parties. <BR/><BR/>While preferences may be an efficient solution to the collective action problem of getting enough voter involvement it’s not an efficient way to make public decisions. People don’t care enough to invest the information they would if they were making private choices. Utility from participation only predicts they will spend some resource, not the optimal amount.<BR/><BR/>Also Becker/Mulligan rational voting predicts that people for whom ideology is a really big part of the utility function (like me) become disproportionally involved. That why the media and pundit class is filled with partisan morons, and disinterested experts are relatively rare.Tinohttps://www.blogger.com/profile/06744296507176750198noreply@blogger.comtag:blogger.com,1999:blog-7539577136486286096.post-61726460551593897512008-10-21T11:55:00.000-05:002008-10-21T11:55:00.000-05:00Obama is now socializing with former Fed chairman ...Obama is now socializing with former Fed chairman Paul Volker, who had the gut to take the inflation down despite the risk of protracting the recession in late 70s. Paul seemed to oppose to further stimulus package as well (at least initially). It will not be bad if Obama listens to him.Shenghttps://www.blogger.com/profile/11359026184760091385noreply@blogger.com