What We Read Today 16 December 2013

December 16th, 2013
in econ_news, syndication

Econintersect: Click Read more >> below graphic to see today's list.

The top of today's reading list asks how to define a bubble and if we are in one now........ and the last article says the GDP gap is much bigger than most think it is.

Follow up:

A low-rate policy encourages long-term investments for businesses to expand and become more efficient, and for households to invest in new homes, improvements and appliances that can also add to efficiency, all of which increases long-term productivity and our real wealth. Low rates also keep the cost of holding business inventory down, and lower interest costs mean businesses sell at lower prices and also keep the shelves stocked, helping to prevent sudden shortages from disrupting output and employment.


  • Another easily solved problem: our massive government liabilities (Fabius Maximus) Fabius Maximus contributes to Global Economic Intersection. The author says future cost liabilities are easily resolved without cutting spending now. One example is launching a program that brings U.S. health care costs in line with other wealthy countries.

Figure 3. Change in Private debt as percentage of GDP and real GDP growth since 1990.

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