Monetary System

By Marshall Auerback and Edward Harrison. Marshall's view Ed has asked me to deal specifically with the issue of Ricardian equivalence, the theorem used by anti-government proponents to argue that fiscal deficits are counterproductive and…

Goldman Sachs (GS) and the SEC (Securities and Exchange Commission) have announced a settlement of the suit over the Abacus security case which was a civil action charging fraud by Goldman. According to the SEC announcement, which I watched…

BBC's travel program Fast Track had a story about how Santiago has been working hard since the earthquake to (re)build its position as a cool global city. I have never been to Santiago (let alone Chile) so I cannot say whether there is any…

Wallace Tuberville writes that if we let Goldman go back to its old ways, no one wins. This post originally appeared at New Deal 2.0. William D. Cohan’s op-ed piece in the July 7th New York Times had the same title as this article, but for…

By David Galland, Managing Editor, The Casey Report This morning I read an interesting story in Soundings magazine. It recounted the final voyage of the S.S. Morro Castle, purportedly one of the safest ships afloat back in 1934 when it…

I have argued that both fiscal and monetary stimulus would be withdrawn sooner than most people expected. Here's how I put it in March (emphasis added): I expect the following to occur: Public pressure to withdraw monetary and…

Below is the video of Chris Whalen of Institutional Risk Analytics, Nouriel Roubini and Ian Bremmer of the Eurasia Group giving their assessment of the financial system and the overall economy. The group was on CNBC earlier this week…

The following is the press release released by the EU on the subject of the European Bank Stress Tests. There will be 91 institutions undergoing the tests. I have provided a list of the specific institutions below. The greatest number of…

Great video detailing explanations for why the financial crisis happened. Big hat tip to the Pragmatic Capitalist. I like this first aspect of the video and I LOVE the drawings. Very cool. Of course, you know that you're going to get…

Some reports suggest that the stress that European banks may be tested for include a 17% loss on Greek bonds and a 3% loss on Spanish bonds  German bunds and possibly French bonds will not be stressed--that is to say the stress test…