Metro Motivation: GM Envisions Networked Mini Cars for City Streets Scientific American
Behind Consumer Agency Idea, a Tireless Advocate New York Times
Top Fed Official Says Megabanks Need To Shrink Or Crises Will Keep Occurring Huffington Post (hat tip reader CB)
New Home Prices: More Room to Fall Michael Panzner
U.S. banks pay lip service to second mortgages Rolfe Winkler
On Clearinghouses Economics of Contempt. EoC and I are in an infrequent point of agreement here. I’ve never liked the idea of clearinghouses for CDS, not simply for the reasons he gives, but for the difficulty (read impossibility) of having counterparties post adequate margin (as in the product economics don’t work, so dealers will force inadequate margining). And he is right that not very liquid products are not well suited to central clearing (higher capital requirements and other forms of intrusive regulation are better remedies).
How Not to Run an S.E.C. Investigation New York Times
Not a textbook rebound Jim Hamilton, Econbrowser
Chanos: Where are the perp walks? Ed Harrison
Sarkozy cannot fall out with Merkel Financial Times
It is time to stop punishing prudence Financial Times
What explains a Moody’s change? Dean Baker, Guardian (hat tip reader John M)
Germany wants to have Greece aid off the summit agenda Eurointelligence. Huh?
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