Why are bad economics politically popular?

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September 25, 2024

Welcome to The Lighthouse ([link removed]) , the weekly email newsletter of the Independent Institute covering politics, economics, current events, and everything in between.

This past week, Federal Reserve Chairman Jerome Powell announced a monetary policy “recalibration” in the form of a 50 basis point rate cut. The announcement broke up an otherwise monotonous news cycle of tariff-haggling, worker visas, and anti-gouging laws.

Scott Niederjohn and Mark Schug ask why bad economic ideas have become so politically popular. Scott Beyer, on a more cheerful note, highlights a productive trend of letting more enterprising individuals operate businesses from their homes with less red tape. Francis Crescia emphasizes the value of free speech and reminds us to not take it for granted.

Thanks for reading.

Jonathan Hofer
Managing Editor

Top picks this week
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** Economic Illiteracy: Did Educators or Politicians Fail? ([link removed])
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** by Scott Niederjohn and Mark Schug
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As economic educators, we wonder if we have let our students down. Our nation is in the middle of a presidential campaign featuring proposals that would be laughed out of the public square if we had an economically aware electorate.
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** New Jersey Moves to Deregulate Home-Based Businesses ([link removed])
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** The Garden State might allow more people to run businesses from home. The idea should go further there and in other states. ([link removed])
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** by Scott Beyer
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New Jersey has advanced legislation that would allow homeowners to operate a business from their own homes without approval from municipal zoning authorities. The change mirrors a trend towards online commerce and is a welcome reexamination of the strict use of separation rules that hamper entrepreneurship nationwide.
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** Speak up for Free Speech ([link removed])
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** by Francis Crescia
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Politicians argue that restricting free speech is necessary to combat misinformation and hate speech on social media. But nowadays, even mild insults are often labeled as hate speech. The right to free speech, once cherished in the West, is now considered a major offense.
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** FEATURED BOOK - AVAILABLE SOON!
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** Good as Gold ([link removed])
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** How to Unleash the Power of Sound Money ([link removed])
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** Judy Shelton
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With clarity and moral courage, Judy Shelton has written a must-read for anyone invested in the future of the economy. You’ll walk away with more answers than questions—a rare experience for anyone who reads about monetary policy.
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