Every producer is a monopolist in a way..

The micro textbooks are written around firms and consumers. But with most writers of these books i.e. econs never having done any business themselves, these books are just too unreal. The examples of producers/markets are just randomly picked up without much clarity on how firms actually work.

Frank Shostak of Mises Institute points to one such fallacy of perfect competition and monopolies. He actually criticises the 2014 prize winner Jean Tirole’s work on monopolies..

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Could the ‘Taylor Rule’ Have Prevented the Housing Bubble?

What was merely an academic exercise has become an applied tool for central banks. Just see whether your policy is in line with the T-rule and all shall be well.

Mateusz Machaj discusses the limitations of the rule and why we should avoid the hype around it.