It’s Time to End the Export-Import Bank

Cato Weekly Dispatch
March 19, 2015

It’s Time to End the Export-Import Bank

The ostensible purpose of the U.S. Export-Import Bank is to assist in financing the export of U.S. goods and services to international markets. So what’s not to like? Well, according to Cato scholar Daniel J. Ikenson, the U.S. Export-Import Bank does more harm than good: “For all the praise Ex-Im heaps upon itself for its role as a costless pillar of the economy, it is difficult to make sense of the collateral damage left in its wake. Thousands of U.S. companies would be better off if Ex-Im’s charter were allowed to expire, as scheduled, on June 30.”

New Issue of Cato Journal Now Available

In the Winter 2015 issue of Cato Journal, Weiying Zhang argues that ideas and leadership—not just economic interests—have played a crucial role in China’s transition to a liberal society, and will be essential to the country’s future. Meanwhile, Thomas Mayor takes on Thomas Piketty’s argument that free markets are rigged in favor of the wealthy. Piketty’s central proposition—that accumulated wealth grows faster than income and output, leading to ever-increasing inequality—is a fallacy, he writes. What’s more, “a world without wealth and income inequality is … a world of universal poverty.” Elsewhere in Cato Journal, George Bitros argues that central banks cannot be trusted to pursue bubble-neutral policies and Randall Holcombe suggests that political capitalism—according to which economic and political elites cooperate for their mutual benefit—should be recognized as a distinct economic system.

The Minimum Wage and the Great Recession

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