Monthly Archives: March 2008

Links April Fools Day

War heroine ‘not classed leader’ BBC Top 10 April Fools’ Pranks for Nerds Wired. Forewarned is forearmed. U.K. Banks Predict `Prolonged’ Downturn, CBI Says Bloomberg (hat tip reader Abdul) Who Will Be Next Bear? Bennet Sedacca, Minyanville I Find Myself Unable to Disagree… Brad De Long Some US Homes Worth Less Than Their Copper Huffiington […]

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"Fed eyes Nordic-style nationalisation of US banks"

Reader Scott passed along this article from the Telegraph. Note that earlier this year, a colleague with high-level connections at the Treasury and Fed said that they were looking at a partial nationalization of US banks. The reasoning was that even if they were technically solvent, they would be sufficiently impaired, between writedowns and carrying […]

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Bill Gross: New Regulation Will Lower Investment Bank Profits

Bill Gross argues that tougher regulation of investment banks, particularly regarding leverage, will lower their profits. While his forecast is intuitively correct, it will also increase the propensity of professionals in non-capital-using businesses, like M&A amd fund management, to form boutiques or operate in pure-play firms subject to less oversight. From Bloomberg: Goldman Sachs Group […]

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Lessons from Japan Versus Wishful US Prescriptions (Summers/De Long Edition)

Two articles in the Financial Times, one a discussion of the implications of Japan’s crash for US policy, the other the latest in a series of comments on the credit crisis by Larry Summers, take different views of the best remedies for our economic woes. Unfortunately, the Japanese prescription seems likely to be necessary, yet […]

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Links 3/31/08

Maine weather wreaking havoc on deer PhysOrg Clueless Guys Can’t Read Women LiveScience, In particular, men interpret friendliness as a sexual overture and vice-versa. Ben Stein Watch: March 30, 2008 Felix Salmon. Thank God someone did the work…. Bagehot, central banking, and the financial crisis Xavier Vives. Vox EU The Sting of Poverty Drake Bennett, […]

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Links 3/30/08

Snake bursts after gobbling gator BBC. Eeew. Hackers Assault Epilepsy Patients via Computer Wired If You Can’t Sell, Good Luck Gretchen Morgenson, New York Times Yosemite Park Blocked From Doing Repairs PhysOrg The Five Ways of Proving Santa Claus Thomistic Philosophy Page (hat tip Brad De Long) Holy evaluation Chris Blattman (hat tip Dani Rodrik) […]

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Hedge Funds: "It’s a bloodbath"

A colorful story in the Telegraph, “Hedge fund legends hit by financial crisis,” tells of the fall from grace of many former hedge fund stars. And the worst is yet to come. While the broad outlines of the story are well known – many formerly successful strategies are doing badly, with highly levered funds suffering […]

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Paulson’s Cosmetic, Cynical Financial Regulation "Reform"

Why is it that the media feels compelled to take pronouncements from government officials more or less at face value? By now, they ought to know that if someone from the Bush Administration is moving his lips, odds are it’s a lie. Today’s object lesson is the so-called financial services regulatory reform plan announced by […]

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Links 3/29/08

Oregon man stripped by Craigslist looter The Register My Very Own Risk-Based Repricing Experience Adam Levittin, Credit Slips. A law professor who studies the credit card industry has his own mini-horror story and recounts several ways the bank’s procedures violate applicable laws. Study sees Microsoft brand in sharp decline IDG News Service Nationwide predicts first […]

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