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Mike Konczal at Rortybomb has a new post out: Richard Fischer Chernyshevsky ; Kocherlakota, the Scrivener, on the ways in which the tactics of inflation targeting from Richard Fisher imitate one of Lenin’s advisors: Richard Fisher is a voting member on Federal Reserve monetary policy, and thus one of the crucial figures in determining how and when we come out of this recession. . . . → Read More: V.I. Lenin’s ghost at the Federal Reserve This reminds me of an old joke: http://www.reuters.com/article/2011/10/17/us-ge-immelt-idUSTRE79G2L220111017?feedType=RSS&feedName=topNews&rpc=71
After losing to IBM in a rowing race the top management of Digital Equipment convened a special meeting to find out what went wrong. They interviewed the rower for the event and he said: “They had eight guys rowing and one guy calling out “Stroke… Stroke…” We had only me rowing and 8 managers . . . → Read More: Immelt: Row Harder! Universites have become merely conduits for recruitment of suckers for a financial rent taking. Huff Post exposes in an article how Goldman Sachs has done this to EDMC. . . . → Read More: Huffpost exposes the Banker/University nexus Someone posted to a Facebook friend a lament on the decline of Universities in the US. To which I responded. I edit the response here. Actually you have to look through your simple conception of the University, it’s place in education, and the needs of the elites as they have grown to power in the US. Universities were once part and parcel of . . . → Read More: Universities, Democracy and Bankers The Chinese model of capitalism is becoming the new (lower) world standard. Anti-worker and anti-regulation activism on the part of even “new” capitalists, will lead to abuse with impunity on the part of American employers. . . . → Read More: Chinese Capitalism: The new world standard So it seems that Bank of America and MERS can’t make their story stick in Oregon. The Courthouse News Service has an article under Dee Moore’s byline Ruling Challenges Ore. Foreclosure System that shows that Oregon law may make the securitization house of cards fail a bit further. Bank of America and Mortgage Electronic Registration Systems broke the law when they failed to . . . → Read More: Bank of America and MERS in trouble in Oregon The crash actually followed a $2 trillion margin call by these four global banks on their prime brokerage clients and OTC counterparties – effectively a 30 per cent increase in required margin. It was the margin call that forced liquidation of global portfolios of all asset classes – and particularly the high quality, most liquid asset classes. . . . → Read More: Margin calls actually instigated the crash Dani Rodrik has an interesting take on the problems of globalization and economic integration: Democracy, national sovereignty and global economic integration are mutually incompatible: we can combine any two of the three, but never have all three simultaneously and in full. . . . → Read More: World Economic Trilemma Paul Krugman in a blog post which refers to an article by Martin Wolf (which I cover below) says ominously: “the water level has now dropped so far that the fuel rods are exposed. We really are in meltdown territory.” . . . → Read More: European economic meltdown Martin Wolf made an interesting point in the Financial Times which I wanted to capture for later thought: Almost all of the money in a contemporary economy consists of the liabilities of financial institutions. In the eurozone, for example, currency in circulation is just 9 per cent of broad money (M3). What is Money? Just the liabilities of financial institutions. |
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