Why Financial Repression Will Fail

The author – Ron Hera – argues that the financial repression will fail eventually. Financial repression occurs when governments channel funds into their own sovereign bonds in order to reduce debt levels through mechanisms such as directed lending, caps on interest rates, capital controls, debt monetization, or by other means. To establish his points, Mr. Hera catches readers’ attention towards “The Liquidation of Government Debt”, “Crisis and Consequence” and many other facts.

Coincident Data Providing Confirmation of Improving Economy

Written by Steven Hansen On Friday on CNBC, ECRI renewed their recession call – now saying a recession should hit by mid-year 2012.   Supporting evidence for this call was based on coincident data’s growth rate-of-change was falling to historical recession levels. There is no current data in my world that is suggesting a USA recession.  …

USA Employment: Looking Through the Chaos

Even a week after the January 2012 jobs report was released, pundits are still arguing over what it means.  I too have been mulling over the data.  The problem is that: There is significant controversy about the way the Bureau of Labor Statistics (BLS) seasonally adjusts  the data.  This analyst believes the adjustment methodology is …

Is Sea Cargo Baltic Dry Index Decline Recessionary?

The Baltic Dry Index (BDI) is in recession territory.  It has been a good friend to pundits who make economic predictions.  Sorry to say, our friend is sick – but there is every reason to believe the illness was caused by forces far beyond a fall in demand. Global trade contraction is one of the …