Monthly Archives: April 2020
More Thoughts on a Better Income Support System for the Next Crisis
This post was written by Mike Veall of the Department of Economics at McMaster University. I appreciated the comments on my earlier post, where I suggested that a small monthly Basic Income system would have the advantage of being able to be scaled-up in a crisis. Incenting participation in the tax/transfer system is responsive to […]
A Small Basic Income as a Solution to the Magic List Problem
This post was written by Mike Veall of the Department of Economics at McMaster University. What if in a future crisis there is again a need to distribute money? As Jennifer Robson put it, “government doesn’t have a magic list with everybody’s name and addresses and bank accounts.” I was reminded of this when thinking […]
A Simple Micro/Macro Corona Tax Model
I want something you could teach to first or second year economics students. Using tools they already have in their toolkit. MICRO Start with a Demand and Supply model of the market for haircuts. If we put a $1 per haircut tax on buyers of haircuts, the demand curve shifts vertically down by $1, reducing […]
Can you be confident about an economy you can’t see?
Canada's economy may be on life support, but it is still hanging on. Even on streets that seem empty and shuttered, there are a few businesses getting by, or even thriving. The bookstore on Beechwood Avenue looks closed, but every so often a customer pops by to pick up an order from the bookrack hidden […]
Public Health Spending and Pandemic Preparedness
As the first wave of the COVID-19 pandemic in Canada begins to peak, there have several discussions and perspectives offered on how prepared Canada was for this pandemic as well as whether we moved quickly enough to address the situation. Obviously, the situation has improved markedly given that there is now time for these retrospectives […]
The behavioural economics of the Marie Kondo method
Marie Kondo is the guru behind the best-selling Life-Changing Magic of Tidying Up and Spark Joy. For some people, like me, her method works. One possible reason for its success is that, underneath it all, there are some sound behavioural economics principles. 1. Shift the reference point Marie Kondo recommends dividing one's possessions into five categories […]
Reading Amartya Sen on Poverty and Famines
The shut down of entire sectors of the economy in response a pandemic is akin to a crop failure. Both represent a sudden, large and unexpected decline in production. Both leave people without resources, without the wherewithall to command the necessities of life. So I am revisiting Amartya Sen's 1981 monograph Poverty and Famines (ungated), […]
Worthwhile Canadian Initiative 
Recent Comments