Discover more from Economics Uncovered
Economics Uncovered: an introduction
Welcome to Economics Uncovered, which has been created to serve as the banner under which I will be distributing my independent economics research, analysis and commentary, in the hope of unpacking and explaining important economic topics that impact each of our lives. Whilst I have long held an interest in economics, and I have spent many years studying it, and the financial markets, the more burning desire to professionally pursue this interest began after seeing the decisions made in response to the COVID-19 (COVID) pandemic, and the impacts that would follow as a result.
The enormous money printing that ensued in many nations around the world, and the subsequent lack of understanding and/or blissful ignorance of its eventual consequences amongst policymakers—namely being high inflation—led to a growing desire to make a personal contribution to the field of economics, in an attempt to provide some small contribution to enhance the debate, and understanding of, policies that so drastically impact upon our daily livelihoods.
Like much of today’s decision making, today’s economic policies, which were highlighted on a grand scale since the onset of COVID, are far too often short-sighted and fail to take into account longer-term impacts. Much of this problem stems from a society that has become overly focused on the here and now. One which seeks instant gratification, and eschews a longer-term mindset. Such a society will inevitably see policies that deliver band-aid fixes to problems in order to try and avoid any short-term pain. Unfortunately, just as an alcoholic is not cured by another drink, these patch up fixes, these shots of economic stimulus and debt, do not fix our underlying problems, but only serve to make them worse. Just as the alcoholic would be better off enduring the short-term pain of remaining sober for his long-term benefit, our economy would be better off, if it were built on solid foundations. As opposed to treating the disease with higher and higher doses of pain relief, we would be better off with a treatment that rid ourselves of the disease itself. While it may cause short-term pain, we would be able to enjoy longer-term prosperity.
This is the type of ethos that underlies my economic thinking, which I hope will shine through in the work I publish. In order to ensure that this can be achieved, a key foundation of Economics Uncovered is that, it is independent. It represents my own individual, independent research, analysis, and commentary. Unlike many economists, I do not work in a government department or for a major bank. Instead, I have the editorial freedom to pursue the topics that matter, and to tell it how it is. The success of this venture is not based upon impressing a woke government bureaucrat or corporate boss. Success is instead worked towards by providing my readers with as insightful an analysis as possible. One that enhances debate. One that in some small way, improves society’s collective understanding of the economic matters that can have such a large impact on our lives.
In order to achieve this, the content that I produce, must also be high quality. After studying economics and financial markets for many years, and recently spending several years as an equities analyst at a leading Australian stockbroker, I know what high quality research looks like. I will always strive to ensure that the content that I produce for Economics Uncovered is of a high standard, and which is at a level that is consistent with, or exceeds the general quality of, institutional grade research.
It is one thing to provide high quality research, but in order for it to really have an impact, it also needs to be accessible. Despite being of institutional quality, a core foundation of Economics Uncovered is that this research is available not just to large institutions and high net worth individuals, but is instead broadly available to all. It is therefore my intention to deliver my content directly to the people via a range of online mediums.
While I am certainly not the repository of all wisdom, while I certainly will not get everything right, and while what I know will always be but a drop in the ocean of what I do not know, I hope that via this venture, I can provide a positive impact. Perhaps the most positive impact of all, will simply come by providing an additional voice. A voice that does not simply articulate partisan political talking points under the guise of unbiased economic analysis, but instead, to be an unbiased, independent voice, that enhances the diversity of debate. In a world that is becoming increasingly encapsulated by groupthink, the economics profession has not escaped this trend. As is the case in so many aspects of the world today, the economics profession needs more voices who are not afraid to call a spade a spade. To tell it how it really is. To provide common sense theoretical analysis, and to eschew nonsensical mathematical models, whose predictive capability is better off replaced with the toss of a coin.
Given one of the driving reasons behind starting this venture, it is only natural that my first report will be on inflation. This impending report will represent a flagship report for my new venture, and provide a detailed analysis of the phenomenon of inflation, with a focus on the United States.
While we hear all too often in the mainstream media and amongst policymakers that the current inflation has been driven by supply chain constraints (which were funnily enough driven by policymakers COVID mandates and restrictions), there continues to be a dearth of understanding and discussion surrounding the key driver of the high inflation that is being seen in many countries around the world today, being an extraordinary increase in the money supply. While many assumed that the apparent V-shaped economic recovery from COVID lockdowns and restrictions meant that we would escape without long-lasting economic costs, there must always be a cost to such destructive interventions into our lives.
Stay tuned for the impending publication of this report, of which I have spent many months preparing, and from which a key lesson should become clear—artificial distortions in the money supply are not a recipe for long-term prosperity, but are instead a recipe for inflation, and economic hardship.