The Econ Review

Economics News with a Historical Perspective

November 20, 2014

The Econ Review features a historical perspective on economics news and opinions with daily updates.  All original material is copyrighted.  Off-site references open in new windows.

About The Econ Review

Address comments to editor@econreview.com.


Opinions

U

U.S. Payroll Employment

Commentary on the latest U.S. payroll employment figures can be found at the Economics Roundtable.

 

In the News

Payroll Employment

Recent History   Long-Term Chart

U.S. Budget Deficit
Bar Graph
CBO Budget Projections
Historical Data

Inflation & Unemployment
The Phillips Curve

John Cochrane uses very similar Phillips Curve charts to review recent history and current issues.

The Chart Room
Charts for GDP and payroll employment show the historical patterns in this relationship.  Custom select side-by-side charts for these variables and interest rates and yield curves.

Euro Roller Coaster
The wild ride continues.

Economics Roundtable
The latest news and views.

Features

Stock Market Crash Causes Depression

Stock Market Crash Causes Depression

October 29, 1929.  Panic in the stock market by itself has little effect on the overall economy.  The potential effect on physical investment in plant and equipment is, however, enormous.

more

Stock Market Forecast 2006

Stock Market Forecast 2006

Between November 1987 and January 1995, the Dow Jones Industrial Average increased at an annual rate of 10.9%.  After the recent decline, the DJIA grew at an annual rate of 10.1% between January 1995 and May 2003.  Is 10.9% a reasonable estimate of long run growth absent speculative bubbles?

more

2001 Stock Market Meltdown

Stock Market Bubble Bursts

The Dow Jones Industrial Average, which did not reach 4,000 until 1995, broke through 10,000 in April 1999.  The 150% increase over four years represented an annual rate of increase greater than 25%.  The fundamentals driving the market, unfortunately, did not support this increase, and a major decline in stock prices ensued.

more

Models

The Mundell-Fleming Model

The IS/LM Model

The IS/LM Model changes the focus from factors of production (i.e. the Classical Model) to demand for output.  The equilibrating factor becomes the interest rate instead of the real wage rate.  Most importantly, the model demonstrates that the economy can be in a stable equilibrium at less than full employment.

more

Additional models of interest are available at Classic Economic Models.


Econ Clubs

Check the directory of economics clubs to see if your club is listed. Links are free.


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