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Comments on: Bubbles, FDI, winners and losers http://www.tvhe.co.nz/2013/03/19/bubbles-fdi-winners-and-losers/ The Visible Hand in Economics Thu, 28 Mar 2013 21:39:00 +0000 hourly 1 https://wordpress.org/?v=6.9.4 By: Matt Nolan http://www.tvhe.co.nz/2013/03/19/bubbles-fdi-winners-and-losers/#comment-40667 Thu, 28 Mar 2013 21:39:00 +0000 http://www.tvhe.co.nz/?p=8415#comment-40667 In reply to Luc Hansen.

I’d note that Cyrus doesn’t have a floating exchange rate to represent that risk – when NZ does. That is the big kicker 😉

]]> By: Luc Hansen http://www.tvhe.co.nz/2013/03/19/bubbles-fdi-winners-and-losers/#comment-40665 Thu, 28 Mar 2013 09:01:00 +0000 http://www.tvhe.co.nz/?p=8415#comment-40665 There must be a Laffer Curve for FDI, Matt. If there isn’t, maybe I’ll draw it up and proclaim it as my own. I think I’ll start with a simple inverted parabola on a table napkin, figure out the axis labels (if that’s really necessary), and lo and behold! I’ll be famous!

Other than that observation, I find your logic persuasive, but the real problem, as I understand it, is when the money departs even faster than it arrived. As Cyprus is experiencing right now.

]]> By: Matt Nolan http://www.tvhe.co.nz/2013/03/19/bubbles-fdi-winners-and-losers/#comment-40643 Sun, 24 Mar 2013 23:05:00 +0000 http://www.tvhe.co.nz/?p=8415#comment-40643 In reply to Eric Crampton.

While I enjoy drinking, I will stay away from that comments thread. I hear too much alcohol may cause death.

]]> By: Eric Crampton http://www.tvhe.co.nz/2013/03/19/bubbles-fdi-winners-and-losers/#comment-40625 Mon, 18 Mar 2013 22:39:00 +0000 http://www.tvhe.co.nz/?p=8415#comment-40625 I think we could set a drinking game on the comments thread you’re likely there to attract.

Rates Blog needs this kind of thing, but I doubt it’ll do any good. Hickey has carved out a bit of a niche in bad populist economics combined with some financial journalism; his audience likes what he provides.

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