Yves here. I’ve written from time to time how openly partisan the Congressional Budget Office is, not in the traditional sense of favoring one party over the other, but as serving as an key enforcer of neoliberal ideology. For instance, its projections of government debt to GDP ratios were highly misleading by virtue of failing to net out financial assets. And after being called out for that error in paper, what did the CBO do? Make it even harder to find the data to prove the magnitude of their misdirection.
- Gaius Publius: Neoliberalism, “Just Desserts,” and the Post-Climate-Crisis Economy - 03/11/2014 - Yves Smith
- 17 Million Reasons Rent Control is Efficient - 03/11/2014 - Yves Smith
- Bitcoin is Not a Currency - 03/10/2014 - Yves Smith
- Links 3/10/14 - 03/10/2014 - Yves Smith
- Ilargi: Big Oil and Gas Wars - 03/10/2014 - Yves Smith
Tuesday, March 11, 2014
Bloomberg has an intriguing story about a bit of lobbying the big dealer banks are engaged in via a group called the Treasury Borrowing Advisory Committee, which represents 15 out of the total of 22 primary dealers (a primary dealer, among other things, gets to bid for its own account at Treasury bond auctions). Of course, the object of their efforts is to improve their profitability, here by putting parties they regard as competitors at more of a disadvantage.
Posted by Yves Smith at 6:27 am |
Why So Little Media Coverage of How the Rich Are Becoming Richer and the Middle Class Wages are Being Squeezed?
Ryan Grim and Mark Gongloff of Huffington Post described one of the key mechanisms by which CEO pay has risen to stratospheric levels: cronyism and backscratching among board members, many of whom are also CEOs. And that’s not the only one that gets less attention than is warranted.
I think of globalisation as a light which shines brighter and brighter on a few people, and the rest are in darkness, wiped out
To fix or to float, that is the question.
The Sochi Olympics were the great success Russia hoped for.
Posted by Yves Smith at 6:55 am |
Wage Shares Fall in the US, Germany and Many Other Countries While Financial Shocks Hit Emerging Economies
ves here. This Real News Network interview with Yilmaz Akyuz, formerly the Director of the Division on Globalization and Development Strategies at the United Nations Conference on Trade and Development (UNCTAD), describes how the problems that produced the financial crisis have morphed into new, no less troubling problems. One key part of this discussion focuses on how China has adapted to its considerably smaller trade surplus, and why having Germany as the new excessive exporter poses new perils to the global economy.
Climate change is a hard policy question to address because it pits those who believe in evidence against those committed to knowing as little as possible.
It’s tempting to turn our eyes from how the economics of slavery operated, but that system represented a huge amount of what one would now call the capital assets of that era, and some of the ways in which slaves were exploited are not often recognized in modern accounts.
Why defining “liquidity trap” precisely matters in understanding crisis dynamics, and Keynes, and not Krugman, got it right.
Topics: Guest Post
Posted by Lambert Strether at 6:55 am |
I’m going to venture into a financial topic once again, by trying to imagine what would happen if Private Equity (PE) infested the housing market in my own small town.
Topics: Guest Post
Posted by Lambert Strether at 6:50 am |
The financial crisis showed that European banks were much more fragile than expected. This column discusses some of the changes implemented by banks since the crisis. Overall, their responses have been minor. Currently, most banks remain highly leveraged, yet yielding low returns. Redressing this could require a reduction of non-core assets and/or a slashing of operating costs. Ultimately, something has to give. European banks have yet to reach a post-crisis equilibrium.
Topics: Guest Post
Posted by Lambert Strether at 3:44 am |