Information Transfer Economics

A working paper exploring the idea that information equilibrium is a general principle for understanding economics. [Here] is an overview.

Friday, September 18, 2015

"the initial price move ... cannot itself be correct"

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Tyler Cowen pointed back to this  (on the paradox of no market response) today: Most generally, it seems the initial price move, in ...
1 comment:
Thursday, September 17, 2015

Hot potatoes and entropy; QE and inflation

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Roger Farmer has a picture of QE overlaid with 1-year market inflation expectations (shown above). Something looked very familiar . I ...
6 comments:

Correctly predicting Eurozone lowflation

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Paul Krugman mentions Eurozone lowflation today ... So how’s [the Eurozone] going? Terribly. Despite QE, euro area core inflation is stuc...
2 comments:
Wednesday, September 16, 2015

Gambling and information equilibrium

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Source: wikimedia commons . I was asked by a commenter to come up with a good intuitive metaphor for information equilibrium -- somet...
20 comments:

Will they?

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Source: wikimedia commons . Will the Fed raise rates or keep them where they are (actually keep a 0.25% ceiling )? Who knows? Tim ...

Misunderstanding inflation in the WSJ

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Mark Thoma links us to this at the WSJ : If consumers believe that inflation will remain high, they tend to save and not buy goods and se...
4 comments:
Tuesday, September 15, 2015

Physics!

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There were a couple of posts in my feed recently that make some references to physics, and as the econoblogosphere's resident Phd physi...
3 comments:

The rest of that NGDP growth vs base growth graph

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Scott Sumner shows a graph of year over year NGDP growth alongside a graph of the year over year growth of the monetary base. Here's ...
8 comments:

Maximum entropy better than game theory

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From NPR's Planet Money . Richard Thaler has an article up where he discusses the Keynesian beauty contest. He does the test tha...
2 comments:
Sunday, September 13, 2015

Thought experiments in alternate universes

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Alternate universes ... [ reference ] A couple of days ago, I did an update to this post on Dani Rodrik's new book and his view th...
10 comments:
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