Monthly Archives: May 2008

Links 6/1/08

UCLA gave transplant to Japanese gang boss PhysOrg Debunking Skill-biased Technical Change Econospeak Why Is This Legal? Elizabeth Warren, Credit Slips Greg Mankiw: The Problem With the Corporate Tax Mark Thoma Hedge Fund Fees and Liquidity – Setting it Straight Roger Ehrenberg Risk wasn’t dispersed Brad Setser. This paragraph caught my eye: The authorities in […]

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High Euro Leading to Fall in Long-Term Investment

Policymakers in Europe have been worried about the appreciation of the euro, which makes local goods less competitive in international markets. Another cost of the currency’s strength is that foreign direct investment has plummeted, as producers shift funds to nations that now have a cost advantage. From the Telegraph: Long-term private investors are pulling their […]

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On the Burgeoning Military/Industrial Complex

In his final speech as President, Dwight Eisenhower warned against a heretofore unrecognized danger to America, namely the growing influence of what the Commander in Chief called the “military/industrial complex”. This excerpt reminds us that despite our nostalgic view of the 1950s, the struggle against Communist was seen as an epic battle: Throughout America’s adventure […]

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Links 5/31/08

Look before you leap: New study examines self-control PhysOrg Outrage as French judge annuls Muslim marriage over bride’s virginity lie Times Online Gartner Identifies Top Ten Disruptive Technologies for 2008 to 2012 ehomeupgrade Job Climate for the Class of 2008 Is a Bit Warmer Than Expected New York Times Derivative thinking Gillian Tett, Financial Times. […]

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CFTC Investigation of Oil Trading Focuses on Tankers, Storage

Bloomberg reports that the Commodity Futures Trading Commission, which has opened an investigation into whether market manipulation may be influencing oil prices, is taking a hard look at physical delivery and storage. A particular focus is the role of Cushing in the trading of West Texas Intermediate Crude, one of the two most important contracts […]

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Doubts About Oil Demand

It’s a bit premature to say that the price correction in oil and commodities generally is a harbinger of a reversion of much of the runup of this year; they were so overbought that some profit-taking was inevitable. But now that the bulls have finally met some strong headwinds, cautionary views are suddenly getting more […]

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From Imperialists to Third World?

A good comment by Philip Stephens in the Financial Times, “Uncomfortable truths for a new world of them and us,” is a polite and understated wake-up call to the fading former imperialist of the West. He notes that the countries currently dominant in major international organizations assume that life will continue more or less as […]

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Warning: Credit Default Swaps May Not Work As Advertised (And That’s Even When They Do Work)

Satyajit Das has a very useful post, “The Credit Default Swap (“CDS”) Market – Will It Unravel?,” in which he describes some of the ways that CDS may fail to perform as expected in real world situations, ie, when companies start getting in trouble. While this work isn’t quite at the Tanta Uber-Nerd level of […]

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Links 5/30/08

White House issues climate report 4 years late PhysOrg McCain’s health terrible Diane Francis. How come it takes a Canadian to point out the obvious? The Costanza Energy Policy: 25 Ways to Drive Oil to $150 Barry Ritholtz Another perspective on liquidity Willem Buiter Gold Newsletters Remain Too Bullish Mark Hulbert, Marketwatch Charges of Insider […]

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Is the Dollar Rally a Head Fake?

The dollar rose today, and gold has fallen below $900 as f this writing due to revisions in the first quarter GDP release that increased growth from “anemic” to “slightly less anemic”. Note that there was considerable skepticism about the initial 0.6% GDP growth figure (the revised level is 0.9%) because the total was entirely […]

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U.K. Housing Prices Fall the Most Since 1991

The housing contraction in England, not surprisingly, is following a similar trajectory to that in the US, and as here, tighter credit is the main culprit. However, since England’s overall consumer debt levels were even higher than those in the US, it’s an open question as to how deep the downside will be. One factor […]

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