Indian tiger park ‘has no tigers’ BBC
Hard Times Are Jamming the Ashrams New York Times
Australia: British backpacker Jamie Neale silent as questions about his ordeal grow Telegraph. If you are not from downunder, rent Japanese Story, which is an excellent movie, and you’ll get an idea as to why this is a big deal, but there is some speculation as to whether he was really missing that long.
12% of e-mail users have actually tried to buy stuff from spam Ars Technica
CIT Calls Bailout Unlikely, Fueling Speculation of Bankruptcy Bloomberg
BT returns call-centre jobs to Britain from India Times Online, A lot of obfuscation as to why.
Card Fees Pit Retailers Against Banks New York Times
Are Big Banks Getting Cheeky? Steven Davidoff, New York Times
China GDP growth accelerates to 7.9% Financial Times
Long Beach Ports Traffic in June Certain Ruin
Geithner promises to defend dollar Financial Times
Banks Ramp Up Pay Packages to Top Talent Wall Street Journal.
Behind Goldman Sachs’ second quarter profit Economic Policy Institute
Why Does Goldman Need A Fed Exemption For VaR Calculations? Tyler Durden, Not good and not surprising.
Things do not always go Goldman Sachs’ way FT Alphaville. That is only because they have not yet figured out how to buy the courts.
A Panel Is Named to Examine Causes of the Economic Crisis New York Times. Eeek, Peter Walliston is on the panel! He is a articulate, knowledgeable industry shill, the most dangerous kind. And the best version of this exercise, the Brady Commission, which investigated the causes of the 1987 crash, was basically a research effort. Academics (Bob Glauber, David Mullins of Harvard, and Joel Cohen) as the heads, a ton of worker bees with relevant skills (as in seasoned but not senior). You need a working group to gather data, not a bunch of board member types. This panel format is a lousy way to get to the bottom of anything, which is precisely the point.
In case you think I am being unfair re Walliston, see The AEI Versus the Real World by James Kwak at Baseline Scenario. Actually, you should read it regardless, it’s a fine post.
Bhagwati: The U.S. is underestimating inflation risk Ed Harrison
World Bank warns of deflation spiral Ambrose Evans-Pritchard, Telegraph. This story does not seem to be getting the play it deserves.
Antidote du jour:
The Streisand Effect strikes again. When will the powers that be learn that any attempt to censor something on the internet will only result in a blowback. I had not heard of goldmansachs666.com until I read that article. Good stuff
Regarding ashram jammers, utopian communities have a strong historical correlation with economic hard times. People are at loose ends and so are their convictions, though there may be other factors at works as well.
Re the new "Pecora" commission, the Republicans picked predictably goofy ideologues, and the Democrats picked mush. Brooksley Born is the only credible name on the list.
Two of Harry Reid's three picks are Nevadans (Georgiu and Murren). None of them appear to be hard-nosed, reform-minded industry insiders, except for Born who was a regulator. And no, I wouldn't count Murren in this group.
There is always a chance, albeit a microscopic one, that this panel could surprise us but first indications are that Wall Street has absolutely nothing to fear from these guys.
Re China GDP growth of 7.9%
PPI decline accelerated to -7.8% from -7.2% in may. I'm not exactly sure how 8tr yuan deployed in 6 months can cause deflation to accelerate. Seriously…does anybody know how that happens?
A 'perfectly efficient' and 'optimal' network for routing people from where they live to where they work.
— routing functions of our financial system
— Minsky financial instability hypothesis
— erratic debt deflation
industrial profits collapsing more rapidly than stimulus is able to offset is my short answer; a long one would be more on the order of 'what is a crisis of overproduction?'