Sunday, August 2, 2015

Bill Black: The OSU Marching Band Exemplifies Why Economists Err by Ignoring Culture

Contemporary economists do not include corruption in their models, yet another reason their models should not be relied on to make policy.

Links 8/1/15

eccentric bird links

Testing the Global Central Bank Swap Network

Central bank swaps are in some ways quite similar to a standard commercial FX swap, but the differences are important and significant.

The Challenges of the Greek Crisis

An overview of how the Greek crisis is stressing international institutions as well as (sadly and predictably) Greece itself.

2:00PM Water Cooler 7/31/15

Today’s Water Cooler: TPP suspense, Sanders no third party, Clinton-Times beef, wage stats and lift off, Carter: US an “oligarchy”, dollar stores, Philae

More on the Systemic Risk of Bank IT Systems

Why financial firm IT is a bigger and more imminent source of systemic risk than you might think.

Links 7/31/15

SCN_0052 links

IMF Staff Attempts to Spread Discord Over Greek Bailout to IMF Board

Nathan Tankus reports on the latest developments in the IMF staff’s growing war against a deal. Can they succeed in sowing dissent?

The Ideology of the S&P Threat to Downgrade Brazil to Junk

Why you should look hard at the rationales and motives of ratings agencies like S&P in giving sovereign debt downgrades.

Paradise Burning: Why We All Need to Learn the World ‘Anthropogenic’

When fire can eat a rainforest in a relatively cool climate, you know the Earth is beginning to burn.

2:00PM Water Cooler 7/30/15

Today’s Water Cooler: TPP *NEW* Wikileaks, mysterious fire in Malaysia, Q2 GDP, Labour’s Corbyn, MH370, Homo sapiens and Neanderthals, sleep

Gaius Publius: The Rorschach Candidacy of Hillary Clinton

What you can learn from applying the Hillary Clinton Rorschach test to friends and family!

Links 7/30/15

Jia, Jia panda links

Lies, Damned Lies, and Greek Statistics

A detailed account of the long and tortured history of budget fakery in Greece and how it is has been aggressively defended by successive Greek governments. A tidbit from the post: one section is labeled “When revising wrong statistics is treason.”

Wolf Richter: Housing Bubble Means American Dream Withers at Record Pace

Despite the current housing “buying panic,” the soaring prices, and all the hoopla round them, there is a fly in the ointment: overall homeownership is plunging.