Thursday, July 2, 2015
The popularity of certain cities is explained by their attractiveness for innovative enterprises and high-educated top talent. Is this a durable trend?
How modest homes in some of Scotland’s poorest areas became prolific ‘company factories’, and how those companies were used in a giant Moldovan bank fraud
If you worry about safety, stop fretting about terrorists and focus on the nasty intersection of rising social stress and widespread gun ownership.
Greek government officials are preparing plans that would cross Syriza’s famed red lines in order to avert a default. Will Tsipras capitulate?
A California county recognizes that the flip slide of banks being Too Big to Fail is that they are also Too Crooked to Trust.
Investors are exiting junk bond funds as bankruptcies rise despite the “recovery” allegedly picking up steam.
An analysis of possible Russian pipelines in Europe as strategic bargaining chips.
Today’s Water Cooler: TPP in the Senate, Charleston shooting, Juneteenth, Sanders surging, Clinton donations, California Water, Greek bonds
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.
A Eurogroup meeting ended if anything with Greece and its creditors even more alienated from each other.
It’s now becoming cutting edge conventional wisdom that oversized financial service industries are bad for your economic health. Yet the media is only occasionally and timidly is willing to say that what is good for Jamie Dimon is bad for the rest of us.