Modern Money Illustrated

DIAGRAMS & DOLLARS Written by J.D. Alt, New Economic Perspectives Constructed from original Part 1 and Part 2. Click to enlarge 1. The “unsolvable” riddle of our National Budget Being an architect, I’m fascinated by diagrams visualizing things which otherwise are invisible. In designing a building we usually begin with diagrams to explore and understand …

Keynes and the Europeans: Similarities of ICU and EMU

by Dirk Ehnts, Econoblog101 The International Clearing Union (also called Bancor plan) that Keynes proposed at the Bretton Woods conference has received some renewed interest over the years, culminating in the EMU’s macroeconomic imbalance procedure which is at least partly based on the ideas of Keynes. Countries with deficits higher than 4% of GDP or …

When Economic Theory Fails the Math Exam

Eight years ago, in December 2005, I began warning of an impending economic crisis that would commence when the rate of growth of private debt started to fall. My warnings hit a popular chord:

China is Sovereign in their Currency

In a recent article, Michael Pettis is missing the point of arguments that claim the Chinese money system is different. The point is that the Chinese government effectively owns and operates the Chinese money system

Making Banks Safer and Banks to Avoid

by Elliott Morss, Morss Global Finance Bank lobbyists are working overtime to remove whatever teeth existed in Dodd Frank to keep banks safe. In the meantime, banks are getting back into creating new sorts of financial paper like what led to the 2008 bank collapse and global recession. If we want banks to be safe, …