Econintersect: Click Read more >> below graphic to see today’s list.
The top of today’s reading list is Robert Eisner’s 1993 paper about the Federal debt …….. and the last article about the discovery of an unusual radiation ring in space.
- Federal Debt (Robert Eisner, Library of Economics and Liberty) Hat tip to Roger Erickson, Mike Norman Economics. A 1993 classic.
- Elites’ strange plot to take over the world (Matt Stoller, Salon)
- Why the WTI Vs. Brent Crude Spread Is Shrinking (Jared Cummans, Commodity HQ) Hat tip to Sig Silber.
- Get a life (R.A., The Economist, 24 September 2013)
- The Fed’s Inability to Forecast Anything Is the Problem (Shah Gilani, Wall Street Insights & Indictments) Shah Gilani has contributed to Global Economic Intersection.
- West’s debt explosion is real story behind Fed QE dance (Gillian Tett, Financial Times)
Lord Turner offers a few ideas. He wants a radical overhaul of the intellectual models that economists use (including, presumably, those in central banks.) He also wants policy makers to deliberately reduce credit. Thus the Basel III framework for banks should have tough counter-cyclical capital requirements, he argues, and regulators should reintroduce “into the policy toolkit quantitative reserve requirements, which more directly constrain banking multipliers and thus credit growth than do increases in capital requirements“.
- How Bad Data Warped Everything We Thought We Knew About the Jobs Recovery (Matthew O’Brien, The Atlantic) Steven Hansen has argued that this is a problem for the past four years.
“…everything you’ve read about “Recovery Winter” the past few winters has just been a statistical artifact of naïve seasonal adjustments.”
- Let’s get this straight: Lehman did not cause the financial crisis (Barry Ritholtz, The Washington Post) Lehman was one of many symptoms of the crisis which was caused by “too much junk paper, too much leverage, too little capital and zero risk controls“.
- The American dream has become a burden for most (Gary Younge, The Guardian) Hat tip to Bill Mitchell and Roger Erickson.