Bad Economics

Bad Economics is a book for everyone who wants to understand why things have gone wrong rather than slavishly accepting the mainstream version of events. It takes on the illusions and delusions which regularly shape economic policy. Absolutely no knowledge of economics is needed; only common sense and an open mind. It explains how bad economics is ruining Western societies, while good economics has been pushed aside. Its aim, by exposing the bad, is to contribute to the revival of the good. Two paths are still open: one informed by good economics, leading to hope; one by bad economics, leading to despair. The story isnt finished; the trends are unpromising. At the same time, the salutary experience Western societies are having in dealing with crippling government debt is keeping hope alive. CONTENTS: PROLOGUE, PREFACE, 1. THE KEY TO TRUTH, 2. PRICES AND PROSPERITY, 3. SAVING AND INVESTING, 4. KEYNES AND KEYNESIANS, 5. KEYNESIAN WORLD, 6. PRE-KEYNESIAN WORLD, 7. BOOMING AND BUSTING, 8. HOLY HOLES IN THE ECONOMY! THE GFC, 9. HOLY HOLES II: WOEFUL POLICY, 10. HOLY HOLES III: PESTILENT ECONOMISTS, 11. DRESSED UP STATISTICAL NONSENSE, 12. CONTRADICTION IN TERMS, 13. SPREADING THE WEALTH, 14. HOPE AND DESPAIR, 15. CARGO CULT AND DEPENDENCY, 16. INTERNATIONAL DEPENDENCY, 17. UNHINGED FROM PRACTICALITY, 18. UTOPIA, 19. BAD ARITHMETIC, 20. MASTERS OF THE UNIVERSE, 21. GRAND BARGAIN, APPENDIX: TEMPERAMENTAL BIAS, INDEX. About the Author: Peter is a frequent contributor to Quadrant. He has written and spoken widely on economic and payments matters. He was CEO of Australian Payments Clearing Association; chief economist for the State Bank Victoria; economic advisor to the Australian Bankers Association; and tutored in economics at the Universities of WA and Adelaide. He has a first class honours degree and a PhD in economics.