When It Comes to National Defense, Bigger Isn’t Always Better

In the debate over whether or not China will soon rise to challenge the United States as the world’s hegemon, it is often assumed that states with large aggregate economies are necessarily more militarily powerful ones. This stems from decades-old methods that remain popular among scholars and pundits who write on international relations and foreign policy. The theory goes like this: states that rule over economies with a large gross domestic product (GDP) have more access to resources. This means more access to weapons, food, personnel, and a variety of…

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Beware the Troop-Withdrawal Bait and Switch

One becomes a hardened cynic when following US foreign policy. Such pessimism is justified: looking at nearly two decades’ worth of nation building abroad and a seemingly shatterproof consensus on foreign policy interventionism in DC $6 trillion and roughly seven thousand American lives later, America’s foreign policy machine appears to be chugging along just fine. The election of Joe Biden as president may represent a partisan change in terms of who will be the face of the country. In terms of substance, however, it may not amount to much. Biden has…

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David Andolfatto Defends the Fed

Ron Paul used the fall in purchasing power since the founding of the Fed to argue that the central bank had hurt regular Americans. Fed economist David Andolfatto disagrees, but Bob pushes back. Mentioned in the Episode and Other Links of Interest: The YouTube version of this interview David Andolfatto critiques Ron Paul’s argument against the Fed Bob’s rebuttal to Andolfatto “Has the Fed Been a Failure?” by White et al Bob’s forthcoming book on Understanding Money Mechanics For more information, see BobMurphyShow.com. The Bob Murphy Show is also available…

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Why the Covid Shutdowns of Public Schools Are Driving So Many to Homeschooling

The American public school system fell apart this year. The overwhelming majority of American parents found themselves remote schooling from home. No consensus exists on whether or not schools should reopen, or whether they should reopen only after everyone attending gets vaccinated. Because teachers still get paid no matter what happens, anger and vitriol between parents, teachers, and other parents has increased to a point where the social fabric children lived in a year ago is ripping apart.  A Broken Model We can only solve these problems by returning to…

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Why ultra-low cost carrier Spirit Airlines is falling behind

Spirit Airlines, the no-frills carrier known for bright yellow planes, brash style and low fares, has helped revolutionize the way we pay for travel. To offset its bare-bones fares the carrier charges for everything from carry-on bags to bottles of water.  As of 2019, Spirit Airlines had 13 consecutive years of profitability. Since then, however, the airline has fallen on tough times. With the coronavirus pandemic causing passenger traffic to plummet, Spirit announced third quarter total operating revenue of $402 million, a 60% drop from a year earlier. To keep…

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