Free Markets, Free People

Dale Franks

Dale Franks’ QandO posts

Observations: The QandO Podcast for 03 Apr 11

In this podcast, Bruce, Michael, and Dale discuss the Koran-burning pastor in Florida, the public union struggle in Wisconsin, and the Federal budget.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

Observations: The QandO Podcast for 27 Mar 11

In this podcast, Bruce and Dale discuss the Libyan situation.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

Observations: The QandO Podcast for 20 Mar 11

In this podcast, Bruce, Michael, and Dale discuss the Japanese Libyan no-fly zone and the strange case of a man convicted of creating “Liberty Dollars”.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

Observations: The QandO Podcast for 13 Mar 11

In this podcast, Bruce, Michael, and Dale discuss the Japanese earthquake and the implications for US nuclear policy, and Pres Obaba’s leadership style.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

My book, Slackernomics, should be available for Kindle tomorrow

I’m happy to announce that sometime tomorrow my book, Slackernomics, will be available on Kindle at the Amazon store for the low, low price of $3. For those who don’t know, Slackernomics is a book on basic economics for people who think economics is boring. Instead of a bunch of charts and math, I present economics in a more enjoyable way.  For instance, here is a portion of my discussion on the role of prices:

Another feature of the price system is that it forces producers to put resources to their most valued uses. This is important because, quite often, consumers demand different goods that use many of the same components.

Let’s take petroleum, for example. People don’t just need gasoline; they need plastics to make computer keyboards and ugly furniture for college students. Businesses need chemicals for industrial production and dyes. Textile companies need artificial fabrics that don’t fade or discolor. Perverts need Vaseline.

So, in bidding for each of those items, their producers are also bidding for the petroleum required to make them. When more people buy Vaseline, Johnson & Johnson has to bid away some of that petroleum from refineries or textile mills. In turn, this increased demand in petroleum causes the price of oil to rise for everyone who uses it.

In order to keep buying oil, everyone now has to pay the price that Johnson & Johnson is willing to pay. As this raises consumer prices for these items, consumers are likely to buy less of them. For example, a consumer, noticing the increase in the cost of Vaseline, decides to spend Saturday night alone.

So, the price that Johnson & Johnson is willing to pay for oil becomes an added cost for all of the other businesses that use oil. If they want to bid away some of that oil, they have to be willing to pay the higher price. But since higher prices tend to mean lower sales, other producers will only bid away as much oil as they think they can use, now that sales are dropping.

The end result is that Johnson & Johnson ends up with a relatively larger portion of oil. In other words, the resource of oil has flowed to the highest valued product, an important…uh…medical lubricant.

Eventually, because there is an increasing supply of Vaseline, demand is affected. At some point, consumers are unwilling to buy it, because there’s enough of it on the shelves. And, of course, with all this petroleum bidding going on, the price has been increasing. So, some consumers may notice that the price of Vaseline has now increased relative to, say KY Jelly, and they may decide to purchase that instead.

Of course, either way, Johnson & Johnson wins.

So, if you’d like to get a better understanding of how economics work, and maybe get a few good laughs on the way, you can get it tomorrow for about 1/6 the price of the physical book.

I’ll provide the direct link to Amazon to purchase it when it becomes available tomorrow.

Observations: The QandO Podcast for 06 Mar 11

In this podcast, Bruce, Michael, and Dale discuss the situation in Libya, and this week’s employment numbers.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

February Employment Situation

Once again, the headline unemployment number for February, which droped from 9.0% to 8.9%, hides much weakness in employment, despite the 193k new payroll jobs. Indeed, the BLS’ own U-3 unemployment rate, which is calculated in a similar fashion to mine, increased from 9.8% to 10.4%.

For my methodology, the numbers look like this:

Civilian noninstitutional population: 238,851,000
Historical participation rate: 66.2%
Proper labor force size: 157,641,660
Actually employed: 138,093,000
Actual unemployment rate: 12.4%

At the end of the day, we need another 8 million new jobs to bring us back to full employment.

Observations: The QandO Podcast for 27 Feb 11

In this podcast, Bruce, Michael, and Dale discuss the demonstrations by public employee unions in Wisconsin, and the state of the economy.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!

Observations: The QandO Podcast for 20 Feb 11

In this podcast, Bruce, Michael, and Dale discuss the demonstrations by public employee unions in Wisconsin, and the wave of protests across the Mideast.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2010, they can be accessed through the RSS Archive Feed.

[ad] Empty ad slot (#1)!