2014

Through the lens of someone looking at economies with rapidly ageing populations we can simply say that this problem arises because there isn't any consumption to pull forward! Fisher's interest theory was always valid, it is merely that in…

News links for 8 Apr 2014

It is about time I did a long-form political economy piece because a lot of what is occurring in emerging markets is of that ilk. The political economy dominates the economics of the issues in a way that makes discussing markets and…

News links for 7 Apr 2014

I knew Charles Keating, the head of Lincoln Savings, in my capacity as a financial regulator and as the subject of his wrath. His fraud schemes and the manner in which they targeted our system’s vulnerabilities in an era before Citizens…

News links for 5 Apr 2014

I have been saying for years now that the money multiplier does not adequately explain how money is created in a modern fiat money economy. In particular, the idea that banks are passive intermediaries who simply respond to injections of…

The US dollar is consolidating yesterday's gains that were scored largely in response to Draghi's revelation that QE and a negative deposit rate were discussed at the ECB meeting. The consensus expects that the US economy grew 200k jobs…

News links for 4 Apr 2014

I apologize but I am under severe time constraints today and cannot do the daily in time for the 10AM newsletter deadline. As I am out of the office tomorrow, I am not sure when I will be able to write. But I will have something for you.…