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« Getting the Most from Economic Bloggers | Main | Investors' Guide to the Debt Ceiling Debate »

May 11, 2011



Very nice post!

My favorite example of bogus analysis is China:

If China's economic growth is higher than expected: Oh no!!! economy over-heating, impending market crash.

If China's economic growth is lower than expected: Oh No!!! China's economy is cooling, impending market crash


Proteus -- Thanks for this accurate assessment of the situation. The political debate empowers the purveyors of anecdotes and pop economics.



I think part of the problem with the Econ 101 syndrome can be traced to politics mixing with economics. Even among well-known professionals in the field, we have Democratic economists, Republican economists, liberal economists, conservative economists, libertarian economists... This doesn't even include Keynesians, Austrians, and others. Many people see the substantial political differences among professionals as justification for extreme or illogical viewpoints without understanding just how much common ground there is in modern economic thinking.

While some people will never change, shame on professionals for not communicating better just how much progress has been made in economics.

On a different topic, I note that the approaching end of QE2 is being blamed for the selloff in stocks and commodities. A month ago these same people were saying QE2 had no effect. Hummmm.

stock tips

Lot of global tensions is going on at this time. Japan is expected to

pull out its money from the global market as they want to revamp their

country now. In current scenario anything can happen in the Share

market Investors are advised not to panic and stay invested only safe

traders and Stock Tips investors should exit their long positions on

every high and one can use every decline as an opportunity to enter

market again.


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