Sanctioning Blackmail

We are about to sanction blackmail as a legitimate Congressional negotiating strategy. Anyone think this is the last time we will see this happen? One side put a gun to the economy and said do it our way or else. The other side had many ways to disarm the strategy, the 14th amendment for example, […]

Lots of Ground to Cover

In my last post I noted that the pace of the recovery, now two years old, is in broad terms similar to that of the first two years of the previous two recoveries. The set-up included this observation: “Though we have grown used to thinking of the rebound from the most recent recession as being […]

From Outside the Beltway

Tracking the debt ceiling debate has been something of a monumental task – there are simply too many pieces in motion at any given time.  Perhaps even more of a challenge given that it is an insider’s game, and I am well removed from that game  Indeed, from my perch the only thing that looks […]

A Closer Look at the Drop in Jobless Claims

Yesterday’s news that new jobless claims dropped sharply—to under 400,000 for the first time in three months—raises the question of whether the good news will continue? “That’s partly up to Congress,” opines Mark Thoma, professor of economics at the University of Oregon. “If they keep bickering until the time to raise the ceiling passes, or […]

Disastrous GDP Numbers Make Double Dip Scare Real

I have stopped reporting the quarterly GDP numbers but this last reading bears mentioning. The US Bureau of Economic Analysis reported the following at 830AM ET: Real gross domestic product — the output of goods and services produced by labor and property located in the United States — increased at an annual rate of 1.3 […]

The Empty Bully Pulpit

How did we get into this mess? I thought I’d seen Washington at its worst. I was there just after Watergate. I was there when Jimmy Carter imploded. I was there during the government shut-down of 1995. But I hadn’t seen the worst. This is the worst. How can it be that with over 9 […]

Rock ’n’ Roll Suicides: An Economist’s Approach

Last Saturday, Amy Winehouse, a fragile English Jewish girl, one of the most beautiful voices in rock history, died in London. Her name joins the long list of rock musicians, Jimi Hendrix, Jim Morrison, Brian Jones, Janis Joplin, Kurt Cobain to name a few, who were consumed by a “reckless life” and died by overdose, […]

Mexico 2012 Presidential Elections: Finance Minister Cordero may not Pursue PAN Nomination

Since our last update on the presidential aspirations of Finance Minister Ernesto Cordero, doubts have intensified regarding his potential resignation in anticipation of a bid for the PAN party presidential nomination in early 2012. Though still the favored successor of President Calderon, Cordero’s competitive outlook is not promising at all. A Mitofsky poll published earlier […]

New Challenges for Argentina’s Monetary Policy

These days the interest rates on 30 day-time deposits have reached 12.2%, the highest level in the past 21 months, while the interbank rate rose from 9.8% to 12.6% in a matter of days (reaching 14% at its peak), only to return to previous levels. The big question is whether this rise was simply due […]

1 2 3 11