Archive for July 5th, 2009

Behind GM’s Decision To Build Its Small Car In Michigan

There’s an interesting story in the WSJ concerning GM’s decision to build its new small car in Michigan as opposed to Tennessee, Wisconsin or overseas. All of those places were in the running for the business. This is of more than passing interest, since you and I are heavily invested in this company and would, […]

Biden: We Didn’t Think The Economy Was This Bad

Joe Biden announced the “second stimulus” today. In an interview on ABC news “This Week” he said the administration, ” “misread how bad the economy was” and didn’t foresee unemployment levels nearing double digits.” While he went on to defend the stimulus plan, he did offer that the current unemployment rate was too high. So what’s […]

Chinese Underconsumption Did Not Cause The Recession

One of the more commonly cited reasons for the Great Recession has been an unexpectedly high savings rate among the Asian countries. The logic implies that by over-saving the Asians financed cheap consumption in the rest of the world. Frankly, it never made much sense to me and now the some Asian officials are pushing […]