Tim Worstall


You’re free to say “And don’t talk about inflation. That risk only exists if we overspend – and a pay rise for the NHS isn’t that. That also only happens if we have a non-functioning tax system to claim the spend back – and we have one. So, inflation is not a risk from this.”


Lesson two is to understand where tax fits into all this, which it does. It is true that making money without limit will result in inflation. Tax is the mechanism used to prevent inflation. It takes the money the government creates back out of the economy.

Odd how a pay rise for the NHS does in fact mean higher taxation, isn’t it? Even when we’re told it doesn’t.

Quite, Genius³, quite

John S Warren says:
July 22 2021 at 7:53 pm
“These entities are not subject to market constraints. They are not even in the market, as such. They do, instead, run their own economies that co-exist with those of countries but are at least in part removed from them.”

I was not sure what conclusions you were drawing from this.

Richard Murphy says:
July 22 2021 at 8:27 pm
That they are macroeconomic agents outside microeconomic influences

Companies get so big that prices, supply and demand, they just don’t affect them.

Economics³ perhaps?

OK, and?

First death from mining Bitcoin
Danai Makmek, 26, in Thailand is the latest in a string of industrial accidents caused by unregulated Bitcoin mining

You can see what comes next after “unregulated”. That there should be regulation.

In what is believed to be the industry’s first fatality, a bit-coin “miner” has died after his computer exploded during an attempt to increase its power and allow him to mine more Bitcoins.

The death of Danai Makmek, 26, in Thailand is the latest in a string of industrial accidents caused by unregulated Bitcoin mining, in which practitioners often rig up dozens of computers that then cause power overloads.

Any regulation wouldn’t be about stopping people putting computers in tandem, would it? For that cannot be regulated. Instead it would be something about having to register who owns bitcoin or summat – entirely tangential to the issue but desired by the Swamp anyway.


The argument is that, in effect, monetary policy is premised on the idea that all companies are small enough to be subject to market pressures, and that interest rate policies can impose changes on markets that will, because of those market pressures, be transmitted into both corporate and personal behaviour.

However, the assumptions does not hold true, they suggest, when there are companies of exceptional size.

The argument is that some companies are too large to be influenced by monetary policy.

Hmm, well, maybe, but let’s run with it.

So, the man who says that monetary policy is over, that fiscal policy is the only tool we can or should use. Now he says that we’ve got to use fiscal policy to tax companies back to the size where monetary policy works on them. That monetary policy that we shouldn’t and cannot effectively use anyway.

Welcome to Genius³

Dear Mr. Sanders


You say about the United States that “when working families cannot afford childcare or higher education for their kids,”.

Given your examples here I assume that means that working families can afford food, shelter, clothing, transport, leisure, electronic gadgetry and the Netflix subscription. Sounds like a rich place to me, a population living as high on the hog as any large group of humans ever have done. Sounds, in fact, like that economy thing is pretty much done, properly baked.

yours etc

Tim Worstall


Smart meters will be useless in hydrogen-powered homes
Chemical differences between gasses mean the devices will need to be replaced, admits Business Secretary

Measuring something different requires different methods of measurement.


Although I will admit to confusion. I thought smart meters were on the electricity supply, not the gas?

Everything gets tested, asshole

“The experience of a few hyper-wealthy amateurs paying $28 million to vomit for 15 minutes probably won’t bring many average people closer to spaceflight or change their impression of it,” Matthew Hersch, a historian of technology at Harvard, told Recode in an email. “Compared to NASA’s space vehicles, they are clever amusement park rides with minimal utility, intended to support a tourism business that has never been part of NASA’s charter.”


The 1890s Hresch was complaining that this automobile things were slower and more expensive than a horse. Which they were of course…..

Actually, it’s because government is shit at doing things

I know I shouldn’t but I’m going to let the P³ in on a little secret:

Why do we need a balanced budget more than we need education, healthcare, social care, justice services, environmental protection, new social housing, transport infrastructure reform and so much else? I doubt that anyone who proposes a balanced budget can explain that. But because it is assumed that a balanced budget must be the goal all those things that we need – as well as the vital support that so many in the UK are dependent upon to just let them have the most basic of standards of living – are to be denied to us.

The debt paranoia is killing us. There is a whole chapter in my book ‘Money for nothing and my tweets for free’ on this issue. But let me reiterate how absurd this claim is.

The logic of the balanced budget fetishists is that government debt is akin to any other debt, and must be repaid.

No, not really. We have noticed that the national debt has never been repaid, also that it has rarely been diminished by even partial repayment. We’re also away that seigniorage profits have been racking up over the centuries. We have noted these things.

However, we’re also aware of the truth about government. It’s entirely true that there’s a class of things that both must be done and can only be done by government. Say, executing traitors. OK, we’re fine with the idea that something that must be done and can only be done by government is done by government – the only people who can do that necessary thing.

However, we’re also aware that government is always an inefficient method of doing the thing. This must be true otherwise we cannot explain the distressing lack of Remainers occupying gibbets across the country.

Therefore we wish to restrict government to only those things which both must be done and which can only be done by government. Things that do not need to be done – The Arts Council, diversity training – should not be done at all, not unless they gain voluntary funding from consenting adults. Those things which do not need to be done by government – health care provision rather than financing say – should not be done by government.

At which point one of the reasons why we say government doesn’t have an inexhaustible chequebook is simply because we don’t want government to think that it has an inexhaustible chequebook. On the grounds that the more money they think they’ve got the more they’ll try to do and therefore the more they’ll thereby turn to shit.

That is, the reason for constraints upon government spending is because governments are shit at spending money.

It’s an odd thing to protest against

Several of the groups have protested against what they say are politically-motivated expulsions of members who have been accused of anti-Semitism.

It’s a political party. Of course things are done for political reasons.

It’s especially odd coming from these groupuscules, whose motivating force is that every decision should be subject to politics – what gets taught, what gets made, by whom and where, should be a political decision. What, after all, is a “truly democratic economy” than one driven by political motivations?

Yes, of course, mistakes will happen, but…..

People who have been double jabbed face missing out on holidays abroad because NHS errors mean their second vaccination has not been recorded.

A Telegraph investigation has found that a number of people who have had two doses say they have no official proof, despite repeated efforts to resolve problems with NHS records.

Health officials said errors could happen if vaccine centre staff failed to press a final “save” after inputting data, or if fields were not filled in correctly.

Well done to the NHS.

On the other hand, that all controlling computerised panopticon isn’t going to arrive anytime soon, is it – because GIGO.

Don’t Send Money!

Much thanks to those who have supported server costs etc for Expunct and Continental Telegraph.

They’ve clearly not worked and so are going to cease being fully operated at the end of this month.

So, please don’t send any more money.

Of course, anyone who wants to buy me a beer or a steak dinner is more than welcome to do so. But that’s a different matter.

In order for either of those two sites to actually work it was necessary to get into Google News. Continental was at one time and it did work then. Ad revenue from it made it worth doing. Not a fortune by any means but the fun plus some money was worthwhile. Quite why it dropped out well, I don’t know. Some tell me that being right wing – by which they mean free market etc – gets you banned but I just don’t know. It’s entirely possible that it wasn’t enough of a news site.

There will be the occasional update just to keep the sites ticking over but nothing like the regular entries there have been.

On to the next adventure. I’ve several ideas for e-books. We’ll see if I can stop procrastinating long enough to actually scribble them out.

But, but, but……

Brianna McNeal had been recovering from an abortion she had in January last year, when she missed a mandatory drug test from World Athletics two days after the procedure. McNeal, a 2016 Olympic track and field champion, had been in bed, and didn’t hear the anti-doping officials at her front door who had come to carry out the test.

Physically and emotionally recovering from her abortion, among other intense personal struggles, marked one of the most difficult times in McNeal’s life. Yet, where she needed compassion and support, she was met with suspicion, interrogation, and devastating punishment. Following two hearings of her case before World Athletics, which McNeal described to Salon as “insensitive,” “invasive” and “gaslighting,” last month, she was suspended from competing in her sport for five years for allegedly tampering within the results management process.

“In both of my hearings, they didn’t acknowledge my mental health, they tried to discredit it — especially the second time, when they brought in some clinical psychologist to try to tell me what I should have been experiencing,” McNeal said, of a disciplinary hearing in which she tried to explain to World Athletics how recovery from her abortion and her subsequent mental health struggles had affected her. Instead, she was told she hadn’t actually experienced depression, and all the ways she supposedly would have acted if she had.

But, but, getting rid of a few grammes of parasite doesn’t produce emotional distress, let alone depression, does it? It’s a liberation, surely?

To think otherwise would be to agree with those damn conservatives, wouldn’t it?

Submit! Submit!

It’s true that we have a social care crisis in the UK. Just as we need more healthcare, education, police, justice services, environmental protection and much more, so do we also need more social care.

Ultimately, the government has to at some time decide that what the people of this country needs is not more takeaways, nor more mobile phones, or gambling, alcohol or television channels, but is instead fundamental public services.

You will do as the P³ insist you do, not as you wish to. For he knows what you need and desire, you don’t.

Man’s an idiot. Or a liar, you decide

Then national insurance is charged at 12% on the employee and 13.8% on the employer (which is a cost that economists agree effectively comes out of wages, so it’s really paid by the employee). That’s a combined tax of near enough 25.8%, higher than basic rate income tax.

Add on to that the fact that national insurance largely stops, by falling to 2%, when wages reach £50,268 a year (current rates), and the tax suddenly looks very far from progressive.

Agreed that both NIs are coming out of the wages.

But does the man not know that there’s no upper limit on employers’ NI?

Is this ignorance or lying?