Category Archives: Guest Post

2:00PM Water Cooler 6/22/15

By Lambert Strether of Corrente. TPP/TTIP/TiSA My view: “Loss of national sovereignty” is another way of saying “a change in the Constitutional order.” That’s what ISDS looks like to me, and my view is reinforced with the material from Jeff Sessions (!) on the TPP as a “living agreement” and the “Trans-Pacific Partnership Commission.” (Sessions […]


Banks are Not Intermediaries of Loanable Funds – and Why This Matters

Problems in the banking sector played a seriously damaging role in the Great Recession. In fact, they continue to. Macroeconomic models failed to explain the interaction between banks and the macro economy. The problem lies with thinking that banks create loans out of existing resources. Instead, they create new money in the form of loans. The traditional model greatly understates bank and macroeconomic risk.