There is no Recovery!
The explosion in the economic blog sphere is a mixed blessing, some blogs seem to be able to create something almost like an alternative reality. Simple data and textbook economics, […]
Where Else Will You Go With Your Money?
We analyze some mechanisms producing a slow shift of fund from the real economy to the financial economy. This shift is very beneficial for shareholders in the short and perhaps […]
The Japanification of Europe
The eurozone is resembling Japan’s lost decades ever closer on a host of metrics, including demographics, growth, inflation, yields and debts. In some respects, the eurozone crisis actually resembles the […]
Hard Money, Soft Money and Asset Bubbles
Should we raise interest rates to curb possible asset price bubbles? Answers depend on who you ask. “Hard money” people say yes, “soft money” people say no. So we’ll look […]
Polish shares are cheap!
Poland, greatly helped by EU membership, has been an economic success story. The economic success is insufficiently priced into equity values, which are historically cheap. Some short-term risk remains due […]
Companies sitting on $7 trillion of cash
According to Thomson Reuters data, companies around the world held almost $7 trillion of cash and equivalents on their balance sheets at the end of 2013 – more than twice […]
The Ticking Time Bomb Under The World Economy
The consensus view seems to be that the eurocrisis is contained when the European Central Bank (ECB) finally assumed it’s lender of last resort role arguing it would do “all […]
Real Damage Is Being Done To The US Economy
That’s a story you don’t hear often in the press, and it’s a particularly damaging one. It shows the long-term damage the recession and policy mistakes are doing to the […]
US public sector employment at 47 year low
Now, the federal government employs exactly 2 percent of the people with jobs in this country. In 1966, the figure was more than twice that, 4.3 percent. via US public […]
Will The U.S. Suffer Japanese Lost Decades?
We mused over the likely QE exit scenarios a couple of days ago, arguing that there is one, relatively obscure monetary policy tool that the Fed could use to contain […]