Economy

Steve Keen, a well-known Australian professor and economist, spoke at Occupy Sydney saying that the protests all over the world show economic models have failed. He’s not the only saying this obviously. But, what does that actually mean for…

For those of you wondering what's just happened in Europe, here is an animated explanation.

The challenge that the Irish economy faces can best be described in the context of flows and stocks of assets and liabilities. Under the Memorandum of Understanding (MoU) with the IMF/EU/ECB Troika, Ireland must implement a severe fiscal…

I see this deal as a quid pro quo for the banks getting recaps in exchange for writedowns. Because it is a negotiated agreement of a sort of payment in kind, it isn't really clear if the banks are being made whole (as compared to a…

Much of macroeconomic policymaking is trial and error. This column discusses calamitous error on the part of Iceland’s policymakers, in the hope that others can at least try something else.

Here’s a very informative chart via Morgan Stanley showing the deterioration in the Eurozone’s key credit indicators. Banks will no doubt sell assets, at least in part, as a way to meet their required capital targets.

Watch the video. It plays Silvio Berlusconi’s encounter with Danish Premier Helle Thorning-Schmidt a second time in slow-motion so you can see where Berlusconi’s real priorities are.

Poul Thomsen wrote an article on the IMF’s blog site about Iceland that I would to highlight. The lessons bear repeating given the economic problems in Europe and the US. The IMF worked with Iceland to stabilise the economy and avoid…

Since everyone is talking about increased wealth and income disparities in the US, it is useful to have some numbers to point to. You saw yesterday’s chart of the day on income as measured by 2008 tax returns. Today’s chart of the day comes…

Belgian newspaper De Standarad reports that the folks at twice bailed out Franco-Belgian bank Dexia are looking for a new name for the company. Apparently, the Dexia brand has been tarnished. Dexia is Belgium’s version of NCNB, now Bank…