Spain Faces Parliamentary Paralysis

The Kingdom of Spain held elections on July 23 and the resulting configuration of the lower house of Congress presents several challenges for governability. In Spain, the executive branch of government is not directly elected but is rather designated by the vote of elected representatives in a fashion comparable to the American Electoral College or the British Parliament. For a party or coalition to form a government they require at least 176 votes out of the 350 members.

Dollar Hegemony Is Ending Due to Geopolitical Changes

Since the Bretton Woods Agreement in 1944, the dollar has been the world’s preferred reserve currency—the major trading nations of the world were willing to hold dollars in vast amounts to satisfy their need for a readily accepted worldwide payment medium. Even when, in 1971, the United States violated its solemn promise to redeem its dollars for gold at thirty-five dollars per ounce, nations were still willing to hold dollars.

Bidenomics: A Boom That Awaits an Inevitable Bust

Joe Biden recently claimed on Twitter that “Bidenomics” has increased the real wages of low-income workers. A counterclaim was made through Twitter’s Community Notes that wages adjusted for inflation were actually lower at the time of Biden’s claim. But data without theory is unsatisfying, so it is worth asking if conditions of the last few years have been conducive to higher real wages, especially for lower earners.

The Chinese Economy: Market Socialism with Chinese Characteristics

In recent decades, the Chinese Communist Party (CCP) has boasted about having lifted hundreds of millions of people out of poverty; however, they were only able to do this because hundreds of millions of people had been living in poverty under its rule. From the founding of the People’s Republic of China (PRC) in 1949 until the economic reforms of the late 1970s, the country’s economy was almost entirely centrally planned. The government controlled the factors of production and determined what products were made, in what quantities they were made, and at what prices they were sold.

graceffo1

Antonio Graceffo, Ph.D., has spent more than 20 years in Asia. He earned a PhD.

Watt1

Jack applies insights from Austrian economics to the contemporary discourse and has a particular interest in monetary