Archive for March 9th, 2009

They Shoot Horses Don’t They?

Headline on the WSJ website this evening: “U.S. Weighs Further Steps For Citi” Come on guys, I’m not a big fan of nationalization or whatever label you want to put onĀ it but it’s time to put this nag out of its misery. Clearly if this kind of talk is floating around there are intractable problems [...]

Share

Card Check Encounters Political Realities

Elements of President Obama’s legislative agenda are starting to run into the realities of American politics. The first casualty might well be the Employee Free Choice Act. Only George Orwell could love the way they name these things. Anyway, the bill, more commonly known as card check, is getting some push-back from Democrats as well [...]

Share

A British View Of Obama’s Plan

Do read Clive Crook’s excellent article on the Obama plan for America. He explores the ramifications of the transformative elements of the Obama plan and relates them to the European experience. It isn’t partisan but it is thought provoking. Here is the link.

Share

Boondoggle Multipliers

I’m surprised there weren’t any howls out of Washington today about Citi’s plans to pay its employees for the recognition trips they missed. You remember the fuss that Barney Frank and others kicked up about several trips they had planned to warm weather locales for their high performers. Faced with his populist pomposity Citi cancelled [...]

Share

Let’s See If These Guys Can Figure Out Derivatives

I don’t know about you but this isn’t exactly what I had in mind for a new financial services regulatory regime. MarketWatch reports that there is a push in both the House and Senate to set up a Financial Products Safety Commission. Here’s what it would do. The panel would provide independent advice to consumers [...]

Share

Will Countries Be Able To Dig Themselves Out Of Their Debt Hole?

Kenneth Rogoff looks beyond the current crisis and asks how are countries going to cope with the massive debts they’re running up. In his opinion, they won’t do well. Mr. Rogoff’s thesis is that the growth prospects for many of the countries that are rapidly running up debt as they pursue fiscal stimulus programs are [...]

Share

Troubles With TALF

Can’t they figure this stuff out? The WSJ Real Times Economics blog points out that TALF may do much less than advertised for the auto industry. The key is that TALF is set up only to buy triple-A rated securities. The problem is creating those securities. You may recall that somewhat late in the came [...]

Share