credit

You should notice that the title of this post is “make accounting gains” instead of “earned” because it is not clear at all that US banks earned $29 billion. After all, the FDIC has indicated that these accounting gains are driven by lower…

Google is loaded o the gills with cash, yet today they are pricing up a bond issue. he Financial Times is reporting that Google will raise as much as $3 billion of 3, 5 and 10-year money. Here's my question: why do this? Acquisition:…

There is a difference between economic growth from mere factor mobilisation and economic growth from increased productivity. One requires a lot more capital investment and debt than the other. If and when capital investment growth slows,…

Below is the text from the letter from US Treasury Secretary Timothy Geithner to Congress via Harry S. Reid, Majority Leader of the Senate, informing Reid that the debt ceiling has been breached.

Frederick Sheehan argues that we are overleveraged, undercollateralized, and accentuating these unsustainable imbalances through economic policy to smooth out volatility.

As James Galbraith has argued, the problem is said to be no more serious than some clogged plumbing. A bit of Drano in the form of government handouts and guarantees should be sufficient to get credit flowing again. Nonsense. Private debt…

One of the key premises underpinning the establishment of the Euro as a common currency to be shared by a number of individual national states rather than one single nation was the central idea that the several economies of the…

On Friday I spoke to RT America about the mockery of a sham that is US public discourse on the debt ceiling issue. First of all, the US government creates dollars. They can always manufacture more if they so choose. It's a rubbish argument…

LURING THE UNSOPHISTICATED into the stock market was considered a risk by Federal Reserve Chairman Alan Greenspan in 1994. So much so, that protecting the individual investor was a mandate of the Fed. (The Fed advertises and then omits new…

Below is a framework that delineates the ideology and economics of two groups of economic thought that are much talked about in the wake of the Credit Crisis: the Chartalists and the Austrians. These two groups are considered outside of the…