Peter is correct about Bob Jones, especially Full Circle.
It really is the funniest novel I have ever read..(which takes some doing).

I recommend it to all Objectivists/Libertarians.

...all grist to my newfound cultural mill.  As is you blog's poetry.

I definitely endorse the Wodehouse, Aristophanes ("I'll piddle in the reeds around your shrine" is still the favourite line I learned at school), Hornby and PJ.

Here's some others' I can recommend.
Douglas Adams is an absurdist great.
Stephen Fry's novels are mostly amusing.
Thurber ("I said 'Spring's hounds are hard on winter's traces,' but let it pass, let it pass.")
Robert B. Parker's detective Spenser is hilarious. You have to give him a try. ("He came in dripping with gold, and sat across from my desk. I felt comfortable about my fee.")
Oscar Wilde's plays. ("To lose one parent may be regarded as a misfortune; to lose both looks like carelessness.")
'Baudolino,' by Umberto Eco: the world's biggest liar telling the world's tallest tale.
NZ author Bob Jones has several hilarious novels, including 'Full Circle,' in which entrepreneurs figure that the "beards" in Antarctica are ripe for a liner full of prostitutes to winter over, and 'Ogg,' in which he invents a new brand of adventure tourism.
Mark Twain.
O. Henry.
Spike Milligan. (Speaking of absurdist humour...)
David Lodge (sort of quietly comic).
Al Gore's books (well, they surely can't be intended seriously, can they??)
Dostoyevsky (no, not really. That was a joke.)

Cheers, Peter Cresswell

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Humor can be almost as divisive as "favorite musicians," but two of my personal all-time faves for solid laughs -- even upon re-reading -- are:

1. Toole's Confederacy of Dunces. Wikipedia's Take

2. Christopher Buckley's Thank You For Smoking. (Much funnier than the movie, IM not-so HO, by several orders of magnitude.)

Marnee mentioned P.J. O'Rourke: although somewhat dated now, his Holidays in Hell still delights me to no end!

all the way through High Fidelity by Nick Hornby! [Though I don't remember any Ojectivist themes if that's what you're looking for... ]

Aristophanes

The Once and Future King by T.H. White -- Im sure his other writings must be hysterical as well but I have not read them.

For non-fiction try P.J. O'Rourke