Wednesday, December 11, 2013

Quotes We Live By : (P.S. Happy Finals Everybody !)

"...Clearly, they should have followed Adam Smith’s advice. He got it right. Individual freedom in economic life leads to economic progress. So if you care about growth and prosperity, you can’t ignore the importance of economic freedom."

-Professor Joshua Hall in Learn Liberty Lecture

Monday, December 9, 2013

Undergraduate Contribution-Publication in the Orlando Sentinel by Holly Jean Soto.

Abolishing student aid could force schools to lower prices  By Holly Jean Soto

Abolish government financial aid for students.

My dear friend, who is a statistics major and a government-aid borrower, is fearful of this statement.

"Don't try to get rid of that," he says. "I need that money for school."

What he fails to realize, as I am sure many other student federal-aid borrowers do, is that getting rid of aid would improve the lives of American students today.

The first harsh reality that student borrowers fail to see is that any government giving begins with....

Read the full article in our : GMU Undergraduate Contribution Tab

Sunday, December 8, 2013

Quotes We Live By :

"Men naturally rebel against the injustice of which they are victims. Thus, when plunder is organized by law for the profit of those who make the law, all the plundered classes try somehow to enter-by peaceful or revolutionary meas- into the making of laws."  
-Frederic Bastiat, The Law

Saturday, December 7, 2013

Quotes We Live By :

"A little matter will move a party, but it must be something great that moves a nation." 

 - Thomas Paine

Friday, December 6, 2013

Mason Undergraduate Contributor- Leo Leksang

Explaining Gresham’s Law with Pocket Change 
By Leo Leksang 
Edited by Holly Jean Soto

Most of us overlook our pocket change. We allow it to accumulate, and then get rid of it as fast as we can. Not a lot of value is placed on U.S. coins, but by reading this post, you might find yourself paying closer attention to your coins.

U.S. quarters, dimes, and half dollars teach us something about Gresham’s Law. American Economist, Murray Rothbard, defines this law as types of money with conversion ratios that are specified by legal tender laws, and are therefore different than their market value.

Specifically, when coins contain metal of different value but are given the same legal tender value, the coins made of the cheaper metal remain in circulation as they are continually used as payment. Simultaneously, the coins made of the more expensive metal are taken out of circulation by individuals who hoard the under-valued money.

The fascinating thing about US quarters, dimes, and half dollars that further exemplify Gresham’s Law, is the fact that these coins were made out of 90 percent silver, prior to 1965. (Yes, our coins used to be more than just hunks of metal used as legal tender). Unfortunately for the American people, supply of silver decreased, caused prices of silver to soar, and ultimately caused the U.S. government to take step in.

The U.S. government’s solution was to substitute nickel and copper for the silver that was originally used in our dimes, quarters, and half dollars.

Following the year 1965, coins contained no valuable silver content in them.  How did this come to be?  Our beloved government substituted silver with nickel and copper, in dimes, quarters, and half dollars, cheating Americans of there once valuable coins.

So what happened to all those silver based coins? People who knew of this substitute, hoarded silver coins and used the new copper-nickel based coins for their everyday transactions.  Take a look at your pocket change next time; it is rare to find quarters or dimes minted earlier than 1965. But in case you do find them, congratulations! You have struck gold…I mean silver.  

Leo Leksang is an aspiring Econ Student and sophomore at George Mason University. View his post in the 'GMU Undergraduate Contributions' Tab above.

Quotes We Live By :

"The consumers suffer when the laws of the country prevent the most efficient entrepreneurs from expanding the sphere of their activities. What made some enterprises develop into big business was precisely their success in filling best the demand of the masses."
 - Ludwig Von Mises

Thursday, December 5, 2013

Wednesday, December 4, 2013

Quotes We Live By :

"Nationwide, we would save $41.3 billion every year by ending the war on drugs. That’s tens of millions of man hours in investigation, office work, and court appearances for drug cases. We are choosing to direct these law enforcement resources to crimes other than rapes and murders, only to end up arresting and incarcerating large numbers of nonviolent offenders. Worse yet, the war on drugs doesn’t even work.

81% of drug arrests are for simple possession. That’s millions of people in the system who never restrained, assaulted, killed, or abused another person. And despite the money and time spent, it’s never been easier to buy drugs."

Tuesday, December 3, 2013

Quotes We Live By :

"...We can also go even farther by fixing other preexisting policies that distort peoples decisions in the health care market. There’s the enormous amount of regulation in the health insurance industry mainly at the state level. None of that makes any sense. There’s enormous amount of barriers to entry preventing people from practicing medicine who are inimitably qualified to practice medicine, or be nurses, or make medical devices, and so on, none of that makes any sense, that raises costs, makes medical care more expensive and  makes it less efficient for everyone to be able to get good quality medical care at reasonable prices."

Monday, December 2, 2013

Correction-Graduate Student Lecture Today :

 Featuring: Alexander Salter 
Join the Economics Society for the third installment of a lecture series featuring the research of Mason Graduate students. 
Topic: This lecture features Alexander Salter's work concerning self-enforcing monetary constitutions.

When: Monday, December 2 2013
Where: JC Meeting Room B
Time: 4:00- 5:00 pm Lecture
Social Hour Afterwards at The Rathskeller

Quotes We Live By :

A government that robs Peter to pay Paul can always depend on the support of Paul.

-George Bernard Shaw