Tulip Mania

To add to Keynes and Hayek’s boom and bust business cycle theory, the generally considered first recorded speculative bubble was the 1600’s Tulip Mania. Where the scarcity of the tulip grew demand; some single bulbs sold for ten times a skilled craftsman’s yearly salary. Needless to say, it wasn’t an accurate reflection of asset prices as it deviated  from … Continue reading Tulip Mania

I, Pencil

A bit cliché to refer to Leonard E. Read I, Pencil, though a simple explanation for introductory economic students, covering how the market works with not central direction but how social cooperation works from individuals pursuing their own interests. In turn, resources are allocated by the combined and decentralised actions of billions of people. Source: … Continue reading I, Pencil

Positive Externalities in Higher Education

The identification and measurement of public and private goods in higher education, presents challenges for government agencies and private suppliers to overcome the free rider problem and encourage positive externalities. To analyse the extent of market failure and consider the costs of not accounting for the non-market private and social benefits, to prevent poor investment … Continue reading Positive Externalities in Higher Education