❰PDF / Epub❯ ★ Economics for Real People Author Gene Callahan – Saudionline.co.uk

Economics for Real People pdf Economics for Real People, ebook Economics for Real People, epub Economics for Real People, doc Economics for Real People, e-pub Economics for Real People, Economics for Real People 648b34f14d8 The Second Edition Of The Fun And Fascinating Guide To The Main Ideas Of The Austrian School Of Economics, Written In Sparkling Prose Especially For The Non Economist Gene Callahan Shows That Good Economics Isn T About Government Planning Or Statistical Models It S About Human Beings And The Choices They Make In The Real World This May Be The Most Important Book Of Its Kind Since Hazlitt S Economics In One Lesson Though Written For The Beginner, It Has Been Justly Praised By Scholars Too, Including Israel Kirzner, Walter Block, And Peter Boettke

10 thoughts on “Economics for Real People

  1. says:

    I read this book as one of a list of 5, and I wrote a blog post to summarise it This review is taken from my blog post An Economics Reading List by Ron Paul, so go there for The full list of books is The Law, Economics in One Lesson, What Has Government Done to Our Money , The Road to Serfdom and Economics for Real People.Economics for Real People is the densest and most detailed of the economics books here But like What Has Government Done to Our Money it s written with such clarity that it s accessible to anyone with the patience to read it.Rather than derive economics from a Robinson Crusoe environment, Callahan uses a contemporary metaphor In our alternative universe, Rich is still the winner of the first series of Survivor , but as the film crew packs up, they decide that they are fed up with his antics Instead of transporting him home, they quietly slip off while Rich is getting in a last session of nude sunbathing.Rich arises to find that he is alone He is now facing the most elementary human problem, how to survive, in the most basic of settings What can economics say about his situation Callahan takes his definition of economics from Ludwig von Mises Economics is the theory of human action Human action is purposeful behaviour Or we may say Action is will put into operation and transformed into an agency, is aiming at ends and goals Where the Austrian school s definition of economics differs from the popular conception is that it has no basis in money money is explained as emerging at a later point If you have a sense of dissatisfaction, say you are disturbed by a buzzing sound , and you can determine a cause in your control, say you look around and see a mosquito You now have to make a choice Being rid of the mosquito would be grand, sure but you ll have to get up And that s a bummer The benefit you expect to receive from being rid of the mosquito comes at the cost of getting up Human preference is subjective We take the thoughts and plans of humans as an ultimate given, and begin our investigation there An astonishing number of concepts are introduced before even a second person appears on the island economisation of means, preference, utility, marginal units one extra bucket of water , the law of diminishing marginal utility, error and regret, consumer goods, capital goods, capital stock, complementary goods, time preference All of which might sound overwhelming, but is actually told effortlessly in the story of Rich choosing to invest his time in making barrels to collect water and traps to trap rats, which is the primary local food supply , all while deciding at which point he d like to go back and sit in his hammock.An economic community forms when Callahan introduces a second person to the island Helena Bonham Carter What does Rich decide to do One possibility is that Rich might react like a bear does, and try to drive the intruder away Now, he might refrain from doing so due to moral constraints or benevolent feelings But there is another reason for him not to drive Helena off as long as there are sufficient unused resources on the island, it will materially benefit both of them to co operate rather than fight They can initiate the vastly enriching process of the division of labour and voluntary exchange.In Callahan s version of this post Survivor scenario, Rich, the dexterous of the two, will make traps, while Helena, the cunning, will do the hunting From here we are taught the way direct exchange plays out, in terms of each of their subjective preferences for rats and traps As people join the island, we see goats and corn introduced, and a market start to form But, notably, there is still no money on the island.As the economy in Richland grows complex we see the difficulty in economic calculation, and finally money emerge, but as the most marketable medium of exchange No special status is granted to money, it s merely an economic good that meets certain criteria, and is subject to the same supply and demand rules as any other.It s in this careful, step by step way that Gene Callahan works through a broad range of other economic topics, including fluctuations in money supply, socialism, government interference, business cycles, externalities for example pollution, which is connected to tragedy of the commons situations , and a brief summary of political economics With a couple of minor exceptions, everything is as clear and grounded as the foundations in chapter 1.This was by far the most enlightening book in the list to me, although it took correspondingly the most investment in time.

  2. says:

    A quick overview of Austrian School principles They re extreme laissez faire minarchists who believe the role of the state stops at stopping violence and enforcing property rights There s not much depth to this easy reader, nor was there intended to be A complete text might offer contrast with classic and keynesian schools and address faults with the Austrian school.I don t need convincing that markets are terribly useful and that there are deep flaws with keynesian theory The description of the Austrian Business Cycle was a useful explanation of state market distortion and it s devastating effects However their knee jerk vilification of the state, while often warranted seems bent on demonizing socialists Beating up on commies and socialists is too easy and hardly strengthens any argument But the Austrians are not strict anti collectivists They seem to believe that if property rights were set up correctly and enforced, then the worst aspects of the state coercion and wealth misallocation would be minimized As you can imagine they think poorly of fiat currency and the inflation stealth tax as well.Overall a good breezy into to Austrian economic theory, but leaves an impression of idealism and partisanship in the brain It makes me want to read a comparison and empirically oriented text on various schools of thought.

  3. says:

    I promised myself I d read about Austrian economics so that I d be certain of the things I m having a go at At any rate, I suspected that I wouldn t go through a Damascene conversion by the end of this book, and I was right Most of the things I will have to say are negative But first, the positive At one point, Callahan lambastes the labor theory of value I am essentially in agreement with him that subjective theory of value, a staple of the Austrian school, is essentially correct I also agree that there is far too much ad hocery in LToV basically, any excuse at all will do for its defenders Nonetheless, I do not believe that a free market economy as defined by Austrians and of course there are several competing definitions, minarchist, an cap, etc is a logical consequence of the STV More on the hypocrisy of prescribing objective ethics with the STV later.Another good thing about this book, and about Austrian economics, is the focus on the generative nature of economic behavior There is too much focus in neoclassical economics on equilibrium results and in at least one case, that of Nash equilibria, only existence is guaranteed The equilibrium strategy in a given situation might even be unknowable, because some are quite simply uncomputable Austrian economics places focus on the generative, the evolutionary issues, how an economy gets somewhere, and not merely the end result The downside is that it, in my estimation, does this incompetently, through an introspective, deductive approach Armchair economics.There are a few other things I like For one thing, I was always uneasy about lumping all of capital into a single variable K The author elaborates on the structure of capital Roundaboutness is a term I like It describes investment in the game Cookie Clicker well Regarding Callahan in particular, he really has a knack for vivid analogies and metaphors, such that I want to believe things that are probably not true He pokes fun at some silly tendencies of left liberals as well I was surprised to find out that some expect that there should be laws requiring that software be bug free I can t even wrap my head around that At most, I can imagine laws requiring the mission critical software to remain functional, in such instances as it can be rigorously verified and validated Otherwise, fat chance It s simply not possible Even if perfect software can be made, the von Neumann architecture in which most software is implemented is not especially robust what good is perfect software when hardware is so fallible And, of course, there is the perhaps beaten dead horse of the Soviet Union, in which everyone was equal, but some people were equal than others We can certainly see the same tendency among the social justice warriors of today, the sort that infest Tumblr like some nasty venereal disease, for whom intelligence has nothing to do with genetics, but for whom ideological opponents have inherited three copies of the stoopid gene, for whom equality is sacrosanct in all things, but for whom it is also perfectly acceptable to set oneself up as an intellectual and moral super lite that knows no challenges to its legitimacy or superior wisdom.That was the good Now, here comes the laundry list of complaints.The first has to do with the nature of utility The Austrian party line is that only ordinal utility is possible When it comes to cardinal utility, they simply ask of what where one utility is said to be greater than another, implying that the concept is ill defined The anti quantification spirit of Austrian economics of that below and perhaps other aspects of the paradigm appear to hinge on ordinal utility In any case, the psychological, neuroscientific and ecological evidence all points towards the computation of something like expected utility which is inherently cardinal among many organisms great and small, including us So while of what is not always clear endogenous opioids perhaps it is perfectly evident that there is indeed of something in the case of higher utility Callahan also claims that indifference between two options is logically impossible, which is also not true, because empirically validated game theory models, such as one on how closely soccer goalkeepers conform to a theoretical equilibrium for the situation of a penalty kick they come pretty close often require indifference between two or pure strategies in a mixed strategy At another point, Callahan implies that interpersonal utility comparisons are impossible in criticizing Pigou s contributions to welfare economics, presumably because of the ordinal nature of utility At the risk of dismissing this claim with a horse laugh , it is difficult to imagine someone without autism who is incapable of performing interpersonal utility comparisons of some sort That utility is actually cardinal would appear to put our common sense on a theoretical basis.And this brings me to a general problem with the Austrian paradigm It is in essence a psychological approach to economics, at least in that it is based on methodological individualism, but not in the sense of recent research in this vein Rather, Austrian economics is based on introspection, perhaps in the tradition of early German speaking psychologists and philosophers of mind if I am rational, how will I behave Whatever concerns there are about the ecological validity of laboratory experiments in behavioral economics, and careful experimental designs raise doubts about this, you re a lot worse off trying to deduce the scheme of all economic behavior from the armchair, just as with any other psychological phenomenon This line of inquiry mixes brings to mind the revealed preference axiom of neoclassical economist Paul Samuelson It is untestable, vacuous Austrians will of course tell you that their theory is true a priori, all the while providing numerous examples of empirical phenomena which they believe strengthen their case there is a sort of double standard there There is a total unwillingness to admit that a consumer might be affected by factors unrelated to or even inimical to his sense of self interest The notion of rational addiction is suggested by Callahan in reference to binge drinking despite the hangover that comes afterwards, but it seems difficult to reconcile this with the persistent and often severe regret that comes with the consequences of drug addiction selling everything you own, petty thievery, peddling your ass for dope, losing all your teeth, smelling like cat piss, repeated terms of incarceration, increased risk of cancer and degenerative diseases, losing all your good friends and getting a whole bunch of bad ones, and so it goes I am not certain whether Austrians would tend to care or not, but it is widely considered that addictive behavior owes to a time inconsistent, ergo irrational discounting function The results of consumer psychology point to possibly benign influences, but still ones that appear to violate consumer sovereignty Situational factors such as music and other ambient elements in a shop can be manipulated so as to encourage or discourage purchases unconsciously similar effects apply to brand loyalty and positional goods i.e keeping up with the Joneses My consumer behavior has always generally been very calculating I often spend so long weighing my options when buying snacks in a convenience store that my ride wonders where I went Even at an early age, I felt as though I had the special sunglasses from They Live and I really chafe at the kind of advertisements that attempt to manipulate me into buying a certain brand of beer because it is portrayed getting a guy chicks, and make a mental note not to buy the wares being so hawked I suspect that many economists might be like this as well, at least up to a point, and project their contemplative tendencies onto the wider population falsely The determinants of consumer behavior seem for the most part to be implicit than explicit, and out of the consumer s conscious control Callahan would have us believe that with the exception of infants and those too disturbed to make decisions, all of us are economic agents, but it seems that economic rationality is likely a continuous trait, with the fullest examples thereof being comparatively rare in fact.The next issue I will come to grips with is Austrian economics hostility to quantification in economic matters It is true that the majority of work done in mathematical economics today is probably dead on arrival It is sterile wank, divorced from concerns of generativity, taking equilibrium conditions for granted, assuming the continuity of all things and, in general, sacrificing sanity for tractability in terms of calculus The Cobb Douglas production function, for instance, would have us believe that throwing enough workers at an ailing and decrepit steam locomotive would somehow make it productive More likely, it would break down on the tracks These are the sorts of absurdities that result from making everything too simple, and too continuous Of course the economic world is far multiplicitous and often lumpy than the mainstream would have us believe Nevertheless our psychologies, our biologies resolve to patterns with can be determined to be quantitative in nature, or at a bare minimum, amenable to symbolic mathematical treatment where numbers are not involved Therefore the issue is not that mathematics is being used, but what sort of mathematics This is not to say that there cannot be useful qualitative knowledge in economics, or in the social sciences in general Jon Elster makes a very good case for such things in his title Explaining Social Behavior More Nuts and Bolts for the Social Sciences This is only to say that mathematics can illuminate economic affairs There are various approaches that deviate from the neoclassical dogma but perhaps that which is best suited to Austrians concerns of generativity and multiplicity is agent based economics Agent based economics specifies, usually in silicio, the behaviors of agents that take place in a simulated economy society, as well as environmental factors that enter into said behavior, and their complete dynamics over time Typically, time and space are discretized, so that the simulation is something of an elaborate chess like game The famous Schelling segregation model is perhaps the earliest example of an agent based model, and Schelling originally executed his model on a checkerboard, with pennies and nickels However the model is specified, the simulation is then allowed to run, and peculiar behaviors are noted The behavior that emerges from the simulation can then be compared to reality In particular, this approach makes it possible to establish experimental controls, as in the natural sciences This addresses most of the concerns of Austrians regarding mathematical economics, though it should be noted that in agent based models there is usually circular influence from the micro to the macro and vice versa, so the methodological individualism of Austrian economics is effectively abandoned, as far as I can tell.The previous two issues I raised with the Austrian research program are essentially empirical failings The following is a philosophical failure Austrian economics insists that value is subjective, and yet is replete with implicit and, in some cases, very explicit value judgments The term efficiency is inherently value laden, just as in neoclassical economics In many Austrian vignettes, the value of voluntary exchange over coercion is exalted, and to a lesser degree cooperation is exalted over competition Yet Austrians also value competition What is incongruent with the SVT about valuing competition, abrasive and destructive competition, than the Austrians do What for that matter is incongruent with the SVT about the desire to coerce, and to be coerced One can sympathize with Callahan as he decries the plight of American aboriginals at the hands of the US Army defending the First Transcontinental Railroad though I can easily imagine Austrians starting to protest loudly if robust property rights for said aboriginals were actually instituted now and forget that the SVT excludes very little, if anything at all If there is any doubt about whether some people appear to desire to live under Soviet style socialism again, then how else can the nostalgia for the old order sometimes seen in eastern Europe be explained, including the socialist style trade union holidays that made the world wonder at Slovakia a few years ago Perhaps some of this is cheeky novelty seeking, but there are certainly contingents who legitimately desire to live under socialism again.Now, all of this brings me to the critical issue of government intervention in the economy, which is where Austrians most substantially differ from the current neoclassical mainstream and political moderates This is partly an empirical and partly a philosophical issue Of course, what form of government, if any, should be instituted is ultimately a question of values, but the effects of implementing or not implementing a given policy can be compared to reality A Google search under the domain of mises.org reveals many Austrians gushing over the successes of capitalist South Korea in comparison to the poverty and backwardness of North Korea Little do they know that South Korea s terrific economic growth, regardless what you think of it or how it was achieved, was in fact state directed to an exceedingly high degree, spearheaded by the mighty chaebol, the conglomerates that the strongman Park Chung Hee directed into existence, among which are the now household names Samsung and Hyundai Indeed, South Korea was a dictatorship until the late 80s Further, its economy was heavily protectionist throughout all the years of its development to maturity Just as with admiration for the free market principles of Adam Smith, the Austrian picture and indeed the libertarian picture in general leaves quite a lot out in this case South Korea is not a freak either the other East Asian powerhouses followed similar plans and, in earlier times, Britain established its economic power in the industrial era through highly protectionist policies as well In regards to transportation, Callahan complains that congested roads are an example of government failure but the eternally backed up freeways of Los Angeles seem to be fairly peculiar to America In other countries, train systems and other forms of mass transit are extensive, and appear to work pretty well Callahan frets over whether the money allocated to government expenditures on mass transit might have been spent better elsewhere but, at least as far as transportation itself is concerned, if it ain t broke, don t fix it I don t see the sense in speculating about how much better things could be under a true free market when the current system is quite alright.There are a number of other issues I d like to address in this review However, my hand is beginning to hurt and I am certainly going to run out of space before I completely exhaust my criticisms I might have addressed the apparent lack of intergenerational ethics when it comes to environmental issues in the Austrian program and my belief that truly creative professionals would do what they do with or without generous monetary recompense those who are in it only for the money tend to be pretty crummy because they lack the intrinsic joy that drives a person towards perfection in challenging fields Despite the assurances that Austrians value things upon which there is no dollar sign, Callahan, if he is representative of his peers, does indeed seem to be far focused on Mammon than he seems to want to believe There are lot of things I could focus on, but my last major partial criticism will concern Callahan s discussion of path dependency, and why he thinks it doesn t really matter This one really interests me Certainly, I am in agreement with him that Dvorak is not infinitely productive than QWERTY keyboards, as one writer opined It particularly interests me that the Quotron stock terminal that appears in Wall Street has a very strange layout for someone accustomed to QWERTY The alphabetic keys are simply arranged in lexicographic order and of course there are a number of exotic keys particular to stock trading that one would not find on another sort of keyboard While these terminals were not used to write books, I suspect that efficiency on a given keyboard is simply a matter of acculturation and when one keyboard is replaced with another the user will adjust soon enough And, of course, the putative advantages of Betamax over VHS are indeed largely an urban myth However, I would certainly argue that bad has pushed out good in the realm of software By many accounts, his account of Microsoft s triumph over Apple in the arena of desktop and laptop computers is credible Apple definitely has some downsides But there were other competitors than Apple In particular, DR DOS was at the time considered threatening enough for Microsoft to break compatibility with the early Windows package deliberately and thereby help ensure Microsoft s path dependent rise to dominance of the market Space is now really tight but since I don t want to pick on Microsoft exclusively, the victory of the X Window System over competing windowing systems such as NeWS and NeXTSTEP deserves mention, as does the victory of the byzantine language C over the Smalltalk inspired Objective C, and perhaps Common Lisp as well It s a sprawling, ugly piece of shit and if you don t believe me look at the 1000 page unofficial specification Look at the LOOP macro Does anyone actually understand it in its entirety Elegant my ass One other thing, and I know this isn t a substantive criticism at all his island economy is quite strange In place of Crusoe and Friday, Richard Hatch and Helena Bonham Carter end up stranded on an island and beget children, who then beget children of their own, presumably through incest It s a sort of uneasy Adam and Eve story made altogether stranger by the fact that Richard Hatch is in fact gay Callahan has certainly not dispelled the stereotype that libertarians are awkward.And my concluding thought I want badly to believe that Austrian economics and, in particular, anarcho capitalism is descriptively accurate and prescriptively workable I hate government and its manifold abuses, injustices and incompetencies just as much as anyone else However, I put my head before my heart and find it difficult to believe that the world can get on without some sort of government Bitcoin was a valuable test of anarcho capitalist ideas, and the results have been mixed Certainly, a diverse array of robust, self regulating private institutions have cropped up around the digital currency and yet they are still built on infrastructure which was developed by and is still often owned and operated by various public agencies For instance, the root name servers owned by institutions like NASA and the US Army Bitcoin has also crashed twice, despite lacking any body like the Fed The real test of Austrian and other libertarian ideas will be in autonomous colonies, such as seasteads If they do succeed, so much the better, but I do not think that they will.

  4. says:

    Interesting Quote The communist countries copied the market countries methods of production, their products, and their technologies Soviet planners even copied commodity prices out of the Wall Street Journal so that they would be able to perform economic calculation Lew Rockwell once told a wonderful story about Mikhail Gorbachev s press secretary Asked what his dream for mankind was, he replied that he wished to see all of the world embrace socialism, except New Zealand Why not New Zealand he was asked Well, he responded, we need someone to get the prices from Gene Callahan, Economics for Real People

  5. says:

    You can t beat this book for full yet easy to understand presentation of free market economics, Austrian style If you only read one book in your life on economics, this should be the one.

  6. says:

    This is my review on dated April 8, 2014 Is it the ECONOMICS itself that is complex and dismal, or are such the mainstream economists explanations Why is there so much fuss about HEALTH CARE What is the difference between health care AND SHELTER OR FOOD both shelter and food are just as vital as healthcare, but as far as I know, I pay for my rent and grocery bills myself What is the difference between a BANK AND a SHOE STORE Every economic DEBATE on central banking and money in the mainstream media is about the same Is the FED s or ECB s current monetary policy too tight or too loose Will the FED or ECB raise or lower interest rates NO ONE QUESTIONS THE WHOLE CONCEPT OF CENTRAL BANKING No one discusses fiat paper money vs commodity money such as gold standard WHY Is job a right Aren t POLITICIANS PLAYING GOD by trying to beat the system of free prices the only system that can solve the problem of alternative allocation of limited resources to meet thousands of different preferences, wants and desires If I reject to pay TAXES because I do not want to support wars and bailouts of politically well connected businesses, for instance or SOCIAL SECURITY contributions because I simply do not believe in the scheme and prefer to plan and save for my retirement myself, or because I do not see why I should sponsor parasits of society or HEALTH CARE contributions because I have a private health insurance and do not use state hospitals doctors, or because I simply choose to have only catastrophic insurance that is, I choose to have a TRUE insurance , I will most likely end up behind bars WHY Is EURO an economic project or a political one Do the true capitalists and entrepreneurs become rich at the expense of the poor there is a fixed amount of wealth and the only way for me to have is to take from you or because they make the economic pie larger Isn t there a lot of CONFUSION all around us Isn t A confused with B CAPITALISM with CRONYISM people blame capitalism for the current mess, but they do not realize we do not have capitalism a true, free market capitalism LIBERTY with LICENSE before visiting a doctor, you call the government to ask if she is licensed, or you ask a family member, neighbor or colleague to see what their experience with her is EDUCATION with SCHOOLING when it comes to macro economics, I learned much by self study than at the University CHOICE with DISCRIMINATION from 2013 insurance companies can no longer use gender as a risk factor in premium calculations EU gender directive It would be discrimination MODERATES with EXTREMISTS for instance, if I voted against a budget deficit on the grounds that it would increase debt, I might be called an extremist But aren t extremists those who vote for it because what they are actually doing is voting for the extreme levels of debt etc.What is FREEDOM Isn t FULL EMPLOYMENT a little bit of a strange goal For one thing, legal aspect aside, it does not take into account economic actors operating on the black market Furthe, all it takes for the governement to achieve it is to split the unemployed into two groups and have one dig out holes and the other fill them in But doesn t the value of work a job and, by extension, allocation of limited resources happen to matter If I decide to give all my cash holdings to a charity and move in the middle of the forest to spend the rest of my life doing mathematics, AM I BEING IRRATIONAL Are ECONOMICS and MATHEMATICS related If so, how Is the economics related to applied mathematics or pure mathematics In other words, is the connection between the two fields to be found in pages of equations or in logic being used Is true capitalism compatible with CHRISTIANITY Isn t MINIMUM WAGE actually hurting economy Doesn t it substitute unemployment for low er wages What are the determinants of real wages Don t they result from processes on the production s side capital accumulation, effective management, better education and training on the part of workers, etc rather than that of government arbitrary laws There are PROTESTS in many places in the world If I protest, it means I am not happy with the current state of affairs so, say, it is clear what those protestors are protesting against But how about the for part What are they protesting FOR Yes, they want a change, but what exactly Party B in control instead of party A What s the difference, really What s the difference between the left and the right True, the left want egalitarian society and for the right it is all about growth, but they both want state interventions and power Shouldn t it be about ever growing government vs no or low government Who are the SOCIALISTS, anyway The rich The middle class The poor What really is at the center of growing INCOME INEQUALITY Is it state or capitalists And is it actually income inequality that concerns the left liberals, or is it wealth inequality Maybe it depends on which one gives a bigger contrast And how about all those analyses and surveys conducted and used to prove it Is everything kosher with them Why would the FUNDAMENTAL ECONOMIC PRINCIPLES that apply to an individual or family be no longer valid when applied to a group of people or society Why is it all about ECONOMIC GROWTH, as measured by GDP What is an economic growth anyway What is actually GDP Is it really production measured in units quantities of goods and services, including their quality which, by the way, is subjective as the name of this statistical construct would suggest or is it spending captured in mere monetary terms Malinvestment, while increasing GDP, at the end of the day means wasted capital Similarly, increasing costs of health care can contribute to the increase in GDP even if the quality of the services goes down How perverse Which system is better suited for the ENVIRONMENT around us, our planet Doesn t DEPOSIT INSURANCE create moral hazard by encouraging banks to take and bigger risks with deposits Isn t it just an illusion of protection anyway After all, it guarantees the nominal value of deposits, not its real value, right Why are there so many uninsured people in the U.S Why is the COST OF HEALTH CARE INCREASING Is free market to be blamed, or is it different regulations that are responsible for that such as those forcing insurance companies to accept all risks including pre existing conditions, price controls, government mandated coverages, bariers to entry, etc Who what exactly is the cause of BUBBLES, such as the most recent housing bubble in the U.S or public sector bubble in Greece Why is a price DEFLATION such a menace for economists those close to politicians anyway What s wrong with falling prices I haven t heard anyone complaining about falling prices in electronics or special medical procedures left to free market forces such as LASIK or plastic surgery Have you Isn t falling prices the VERY essence of true capitalism The list of questions is endless.As I kept contemplating all those questions popping up in my head, I realized that my preferences or gut feelings were not sufficient to give me, let alone to the others, satisfactory answers I needed something I needed tools based on LOGIC and common sense.And that s exactly what the AUSTRIAN ECONOMICS will arm you with The Austrians style of writing and the CLARITY of their explanations are IMPRESSIVE.As for Economics for real pepole in particular, it is of a popular read than systematic treatise, which makes it a good place to start for those new to the Austrian tradition.LEARN, GROW AND SHARE.

  7. says:

    If you want an easy to read, in depth book about Austrian School Economics, then this is the book for you It has numerous examples to explain key concepts and comparisons with other schools of economics.

  8. says:

    This is the economics book I ll recommend to any beginner It covers some stuff that goes a little deeper than some other basic econ books but it does so in a style that makes it enjoyable and easy to grasp Because of Callahan s prose and illustrations I had some concepts shored up for me that had been difficult to fully comprehend after having read Human Action.

  9. says:

    The Austrian School approach to the study economics is practical, logical, and accessible Understanding it gives one an excellent perspective on history, philosophy, politics, business, current events, and daily life However, there are so many thinkers one needs to explore, starting with Fr d rick Bastiat, Carl Menger, Ludwig von Mises, Murray Rothbard, and Friederich A Hayek While incredibly enlightening, their works can be overwhelming in their size, depth, and dryness They can each take quite a while to get through, and there are so many of them.Gene Callahan shrinks the central concepts from the works of Bastiat, Menger, Mises, Rothbard, and Hayek into one reasonably sized volume that is succinct and colorfully written He replaces dated examples with modern ones to illustrate concepts, but defines almost everything with direct quotes from the economists While so much of the content is taken from other economists, Callahan incorporates plenty of original points, writing many quotable lines about various concepts and their applications to business and society.I highly recommend that anyone with an inkling of interest in the Austrian School or economics in general check out this book If, like me, you have already read some of the great Austrian economic treatises, this is still a very fine refresher that connects everything together neatly, gives the reader ideas to think about, and directs the reader toward some less popular works they may not have explored yet The title is fitting If you are a real person, this economics book is for you.

  10. says:

    This book is an attempt to build the Austrian School from first principles Using simple examples and thought processes Callahan breaks down the main tenets of the Austrian School into understandable chunks that anyone even noneconomists can understand pretty much everything The Austrian focus on human action is an idea deserving merit, that explains why it has seen its modern reincarnation as behavioral economics Unfortunately that is where my agreement with Austrian thought ends, I feel their exaltation of market mechanisms and minimal govt interference is just a cover for the strong to exploit the weak Couple this with the school s tendency not to rely on data but rather on mental constructs explains why their thoughts on political economy did not go mainstream Without empiricism it is hard to distinguish flights of fancy from actual insights.Anyone without an exposure to neoclassical economics will buy Gene Callahan s assertions as gospel truths They are simplistic enough to give them a homespun feel It will do the novice reader justice to check neoclassical literature to balance out with the Austrian school.

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