Monthly Archives: November 2014

Part 6: Farm to City

In ye olde historical times, the vast majority of the population of "civilized" countries worked the land. The cities were a small portion of total population. Estimates of ancient Rome are that the city itself might have peaked at a … Continue reading

Posted in Uncategorized | Comments Off on Part 6: Farm to City

Part 5: Old Monetarism

"The US government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many US dollars as it wishes at essentially no cost.... [U]nder a paper-money system, a determined government can always … Continue reading

Posted in Uncategorized | Comments Off on Part 5: Old Monetarism

Part 4: Tangent for Mathematical Biology (Introduction to Formal Systems)

We're going to create an artificial system of foxes eating rabbits. We want to know the size of each population -- how many foxes and how many rabbits there are at any given point in time. Start with the prey. … Continue reading

Posted in Uncategorized | 1 Comment

Part 3: The Flow of Money

If I have a pump connected to my koi pond that's pushing the water out to a filter and then back again to wash pristinely once more over my speckled fishes, then knowing the amount of water in the pond … Continue reading

Posted in Uncategorized | Comments Off on Part 3: The Flow of Money

Part 2: MUSICAL CHAIRS

Our first toy model. Imagine an economy with ten people. All ten workers earn a wage of ten dollars for which they produce an output which is consumed. The fruit of their labor is the real output of the economy. … Continue reading

Posted in Uncategorized | Comments Off on Part 2: MUSICAL CHAIRS

Part 1 (of 100?): Making New Stuff

We're going to draw two curves. The point of having two curves -- supply and demand; a budget constraint and an indifference curve; IS and LM -- is to separate causality. The stuff that causes one curve to shift should … Continue reading

Posted in Uncategorized | Comments Off on Part 1 (of 100?): Making New Stuff

Introduction to the 100 Part Series: Dish-Pan Economics

From Paul Krugman's essay The Fall and Rise of Development Economics: Dave Fultz was a meteorological theorist at the University of Chicago, who asked the following question: what factors are essential to generating the complexity of actual weather? Is it … Continue reading

Posted in Uncategorized | Comments Off on Introduction to the 100 Part Series: Dish-Pan Economics