Econintersect: Click Read more >> below graphic to see today’s list.
The top of today’s reading list reports on slowing investment in China …….. and the last article is about hundreds of billions of “gray income” (undeclared personal income) in China.
- Citi: Chinese investment slowing (Houses and Holes, Macro Business)
- Why We Should Choose Science over Beliefs (Michael Shermer, Scientific American) Is data accepted when it supports your beliefs and challenged when it does not?
- Confused About the Shutdown? Debt Limit? Here’s Our Essential Reader (Bill Moyers.com)
- Bubbles, Regulation, and Secular Stagnation (Paul Krugman, The New York Times)
“[T]he weirdness of our current situation may well go on much longer than anyone currently imagines.”
- Wal-Mart Cutting Orders as Unsold Merchandise Piles Up (Renee Dudley, Bloomberg)
- The Beginning of the End of the Petrodollar: What Connects Iraq to Iran (Bulent Gokay, Mathaba)
- Gauging the trajectory of the US housing market (Sober Look) Suggests that most likely resolution of current divergence is a decline in existing home sales.
- Comments on New Home Sales (Bill McBride, Calculated Risk) The following graph shows the new home – existing home divergence developing over the last six years. From this perspective the Sober Look interpretation (above) seems less probable.
Click on graph to view larger image at Calculated Risk.
- Ignorance and bias in economic models (Antonio Fatas on the Global Economy)
“…using the same naive predictions of models that refer to a fictitious world as the reference and only moving away from them when someone produces an unquestionable piece of empirical evidence is in my mind the true cost of our profession to society.”
- China’s wealthiest families score $720 billion in undeclared “gray income” (Lily Kuo, Quartz)
The undeclared “gray” income earned by China’s richest families has reached staggering levels, and is contributing to massive income inequality that is far worse than official statistics, according to research by the state-backed China Society of Economic Reform.
