Archive - Nominal News

‘Your pay is still - not - going up too fast’

The Economist posted a controversial article arguing that wages are driving inflation. Let’s revisit why this is not the case.

Mar 4, 2024 •

Inflation – a Short Primer

How staggered pricing causes inflation, even without money.

Feb 18 •

Do Tariffs Cause Inflation? Yes.

No, it is not a one off jump – tariffs on intermediate goods result in permanently higher inflation (all else constant).

Mar 24 •

News: The US Credit Downgrade

On May 16, 2025, Moody’s downgraded the rating of US debt from AAA (Aaa) to AA+ (Aa1). What does this mean and what does economics have to tell us about…

May 25 •

Modelling the Impact of Tariffs

Economic modelling suggests that the US tariffs can have quite significant adverse outcomes on both US output and wages.

Apr 30 •

Yes – Tariffs Have Increased Prices and Inflation in the US

The price increases from tariffs can be seen in both economy-wide data and retail data.

Jun 16 •

Why Policy Changes Are Often Misjudged – the Lucas Critique

When policies fail to deliver, it is often that the Lucas Critique that wasn't considered.

Feb 2 •

Why Import Tariffs are Identical to Export Taxes

Proponents of import tariffs would quickly criticize the imposition of export taxes. But both these policies are basically identical.

Apr 13 •

Book Recommendation – Economic Fables

Ariel Rubinstein's "Economic Fables" is a great, albeit not your typical, introduction to economics and economic thinking.

Mar 31 •

Clearing Up the Free-Bus Debate

The provision of a government service, such as buses, and how to fund it, are fundamentally two different questions.

Jul 6 •

Time to Embrace Hybrid Work Arrangements

Research keeps showing hybrid work is a superior form of work organization.

Mar 1 •

Immigration – Fiscal and Macro Impacts

Surveys suggest people think immigrants are a net negative on the budget. Research shows otherwise.

Feb 10 •

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