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10 Things you should know about the minimum wage

The minimum wage increased yesterday in nineteen states across the U.S.:Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Hawaii, Maine, Massachusetts, Michigan, Missouri, Montana, New Jersey, New York, Ohio, South Dakota, Vermont, and Washington. Increases inOregon, Washington, D.C., and Maryland will also take effect later this year. Will the increases help pull people out of poverty? Do they increase unemployment? Although the debate about this issue as raged since 1938, when President Franklin Delano Roosevelt introduced the first federal minimum wage,...

A price is a signal wrapped up in an incentive

Note: This is post #15 in a weekly video series on basic microeconomics. The price system allows for people with dispersed knowledge and information to coordinate global economic activity. The global production of roses, for example, reveals how the price system is emergent, and not the product of human design. (If you find the pace of the videos too slow, I’d mend watching them at 1.5 to 2 times the speed. You can adjust the speed at which the video...

Explainer: What you should know about right-to-work laws

Shifts in the position of state legislatures during the recent election has made it likely that several states will be passing right-to-work bills in 2017. As Melissa Quinn of The Daily Signal notes, in Kentucky, Missouri, and New Hampshire, last month’s election resulted in a flip in party leadership in either governors’ mansions or state legislatures, which put previously defeated right-to-work legislation back on the table. Here is what you should know this issue which, as Quinn says, “pits the...

The end of black conservatism?

On December 27, 2016, at the age of 86, Thomas Sowell published his last column. After publishing dozens of books and hundreds of columns, Dr. Sowell’s retirement may mark the beginning of the end of an era of black intellectuals who were champions of political and economic liberty. Other black scholars like Walter Williams, W.B. Allen, and Shelby Steele are all in the 70s or 80s and there does not seem to be a cadre of like-minded black scholars in...

It’s time to kill the penny

Over the past twelve months there have been considerable discussions of monumental public policy issues. But before 2016 ends we need to consider one more of (in)significant importance: what to do about the penny. As the Wall Street Journal noted earlier this week, in fiscal 2015, the cost to produce a single penny was 1.43 cents. In 2014, that cost rose to 1.66 cents. Despite years of effort to wring costs out of production, it is doubtful the copper-coated coin...

How a great Nobel economist understands the relationship between faith and reason

Gregg and Smith at Acton University On New Years Day, the Nobel Prize-winning economist Vernon Smith turned 90. To mark the occasion, Samuel Gregg wrote an essay for the Stream about Smith and the significance of his work. Gregg explains Smith’s most famous contribution to economics: Smith is best known for pioneering “experimental economics.” This involves behavioral experiments in which people are placed in a particular micro-economy in which they can engage in trade, but without knowing the conditions driving...