G-20 Thoughts
I am going to be talking about the G-20 tomorrow at 700 London Time/1200 East Coast Time on BBC World News. The key issue is fiscal consolidation. I am taking the German side of this (see Why I am siding with the Germans on fiscal consolidation) rather than George Soros’ regarding the euro zone (see Soros attacks Germany’s hair-shirt politics).
I may write up something regarding the US and the UK. The short-hand view I have is that, while the UK and US are less constrained, politically, stimulus is a loser. It is already out in the UK and it is unlikely to gain traction in the US. Malinvestment into the FIRE sector is the key issue which hangs over stimulus as a policy tool (seePrison inmates among those abusing home buyer tax credit – USATODAY.com). I hope to explain why in greater detail a future post.
Irrespective there are other issues like competitive currency devaluations (More on Competitive Currency Devaluations) which loom, especially given the still acrimonious China-US currency relationship.
Also see:
- Has stimulus become a dirty word? – National Post
- FT.com – Maligned Germany is right to cut spending
- FT.com – Debt crisis nations rely on loans from ECB
- Bruce Krasting: What’s Ben Gonna Do?
- Gastkommentar: Deutschland verschlimmert die Euro-Krise | FTD.de
The Usual Fare
- FT.com – Supreme Court finds fault in Skilling conviction
- FT Alphaville – Joseph Cotterill – Notes from the deflationary quicksand
- Builders slash prices to sell houses – Lansner on Real Estate : The Orange County Register
- BBC News – Disgraced lobbyist Abramoff takes up job in pizzeria
- FT Alphaville – Neil Hume – A €2,000bn EuroTARP needed
- BBC News – Iran claims higher enriched uranium production
- Dell’s 2011 forecast meets Street view, margins eyed| Reuters
- Blinded eyes restored to sight by stem cells – New Scientist
- Ghana 0-1 Germany | World Cup 2010 match report | Football | The Guardian
- The good news: England are through The bad news: It’s Germany up next | Football | The Guardian
- Irish Mortgage Brokers | Competitive devaluation?
- España volverá a la recesión en la segunda mitad del año, según las cajas – ABC.es
- Bill Gates doesn’t work at Microsoft anymore | ITworld
- Seven Reasons Microsoft’s Profits are Tanking – PCWorld
- macroblog: Another view of the structural versus cyclical unemployment question