Archive for December, 2009

The Prosecutors Go After AIG, But It’s Only A Symptom

In a NYT Op-Ed today, Eliot Spitzer, Frank Partnoy and William Black suggest that a public email dump on the part of AIG should take place in order to assess the company’s culpability and that of its trading partners in the near collapse of the financial system. I hold no opinion one way or the […]

The Inflation Option

I found this at the Economist’s Free Exchange really interesting. [B]etween 1946 and 1955, the debt/GDP ratio was cut almost in half. The average maturity of the debt in 1946 was 9 years, and the average inflation rate over this period was 4.2%. Hence, inflation reduced the 1946 debt/GDP ratio by almost 40% within a […]

Friday Failures

Six seven banks were taken down by the FDIC this Friday. Here is the link to the FDIC website so you can read the horror stories at will. I suspect that this might be the end of the line for this year. Given that the next two Fridays are holidays and the Thursdays preceding them are […]

The Real Story On The Unemployment Numbers

I suppose you can file this one under do you “believe your lying eyes” or government statistics. The WSJ reports that, “Just eight states recorded a rise in the unemployment rate for November, signaling the pain in the U.S. labor market may finally be abating.” They published this chart from the BLS to support that […]

Schuler On Health Care

A little behind in everything right now so no original post tonight. I do, however, want to point you to a particularly good piece of thinking on health care and what’s transpiring right now. It’s from Dave Schuler. Here’s a small piece: That those without healthcare insurance have poorer outcomes than those with insurance is […]

DeLong-Recovery Necessitates Enriching The Bankers

Brad DeLong argues that propping up asset prices and making bankers rich is the strategy that will lead us out of this wilderness. The second is to persuade the private sector to boost its spending. It is to use the government indirectly‹by making households feel that they are richer and can spend more; making businesses […]

Let’s Apply Commercial Real Estate Failure Procedures To Residential

This is a story you’ve read before and will undoubtedly read many times more in the next few years. It’s about Tishman Speyer Properties and its joint venture partner walking away from Playa Vista, a raw land play in Los Angeles they entered into in 2007. The WSJ has the details and you can click […]