In light of recent attacks on Governor Mitt Romney’s record at Bain Capital, American Enterprise Institute (AEI) director of economic policy studies Kevin Hassett and economist Steven Davis examine in their recently published piece what is private equity, its impact on jobs, and its role in the American economy.

Far from damaging brains and killing seals, applying basic economics to the environment preserves it.

Austerity measures in Europe have been the topic of a heated and mostly confused debate in the economic world. During the May summit of the leading industrial nations at Camp David, German chancellor Angela Merkel and other European leaders pushed for continued European austerity. Keynesian critics argue that these policies destroy economic growth.

Voters seem to be rejecting the Obama Democrats' vast expansion of government, saying to leave the private sector alone so it can recover from the financial crisis recession and once again create bounteous and unscripted growth.

Americans understand that federal spending policies that waste money, trickle into the economy too slowly, and lead to chronic deficits are not an effective stimulus.

Editor’s note: Jim Manzi is the author of “Uncontrolled: the Surprising Payoff of Trial-and-Error for Business, Politics, and Society.” He is the founder and chairman of Applied Predictive Technologies, a global provider of predictive analytics software. Manzi is a senior fellow at the Manhattan Institute and a contributing editor at...

A major impediment to any economic recovery right now is not that official interest rates are too low but rather that the money multiplier has collapsed.

Will we recover, unbridle ourselves of debt, innovate, pay for our national security? Or, is China fated to become number one, leaving us to live in a Chinese world?