Given that the U.S. after fits and starts essentially followed the British model for dealing with insolvent banks, this article from the Telegraph may give us a clue of things to come on this side of the pond. Recall that the British government acted quickly and decisively when they injected capital into their largest banks [...]
Archive for January 3rd, 2009
In response to a comment on another blog earlier this week that Americans are consumers and will continue to consume rather than save, Paul Kedrosky asks his readers for their opinion. Kedrosky contends that the savings rate will hit 7% fairly quickly and stay there for awhile. You can go to his site and vote [...]
The boast of the incoming Obama administration is that they plan to create 3 million new jobs via their fiscal stimulus plan. I don’t know how you would ever prove whether that happens or not but ignore that point for now. If I did the math right, that works out to $200,000 per job. I don’t [...]
The WSJ is reporting that Israel has begun a ground offensive into Gaza. In a world in which we need political stability badly in order to cope with economic chaos this is not good news. Obama is going to have much more on his plate than just a stimulus plan.
I’ve been spending a largely unproductive Saturday morning browsing the Internet and came across this little gem from the Wall Street Journal. It’s the story of a woman, a ramshackle house in Arizona and the mortgage crisis. You and I have seen a lot of these before, but this one is well put together. The [...]