Monday, February 20, 2012


Apparently there are limits to Moore's Law.

Types of Entrepreneurs

We hear a lot about small business and entrepreneurs whenever we talk about employment growth. However, there are a lot of different types of entrepreneurs. Steve Blank explains the differences.

There are six distinct organizational paths for entrepreneurs: lifestyle business, small business, scalable startup, buyable startup, large company, and social entrepreneur. All of the individuals who start these organizations are "entrepreneurs" yet not understanding their differences screws up public policy because the ecosystem in supporting each type is radically different.

The scalable startup represents what most local governments want - rapid and large employment gains. Yet it's small business "feed the family" startups that employ most of the private sector workforce.

HT: Points and Figures


Test Tube Beef

Whenever we cover complements in production in class, I like to point out that we get an increase in leather whenever the price of beef increases. This is because we don't yet know how to produce beef without getting a hide. Well, they're working on it.

Saturday, February 11, 2012

Economists and Central Bankers Having Fun

If you would like to see what passes for fun among Central Bankers and Economists, head over to Twitter and look at the hash tag #FedValentine.

Alternately, you can see some examples here.


What Happened to Gasoline Sales?

A 25% reduction in one month is an outlier. Two months in a row, not so much. Not sure what has happened.

Lots of interesting data at the links.

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Heading to Jail

When we cover the chapter on anti-trust laws, I like to point out to students that price fixing is a crime with not just civil penalties, but also criminal penalties. We don't see many executives going to jail for it, but it does happen.

Two Japanese auto suppliers are paying fines totaling $548 million in a criminal price-fixing conspiracy case involving parts sales to U.S. automakers, the Justice Department said today.

One supplier, Yazaki will pay a $470 million fine and the other, Denso, will pay $78 million. The Yazaki fine was the second-largest criminal fine obtained for a Sherman Act antitrust violation. In addition, four Yazaki executives, all Japanese citizens, will serve up to two years in U.S. prison as part of the deal to plead guilty to one felony count, the Associated Press reports.

Remember that in the US, price fixing is always illegal.