Breaking the chain
by“Wherever there’s injustice, oppression and suffering, America will show up six months late and bomb the country next to where it’s happening.” From Give…
Economic Cycles
Does the price of oil determine general increases in the prices of goods and services?
byA very good visual correlation between the yearly percentage change in the consumer price index (CPI) and the yearly percentage change in the price…
Benn Steil: PBoC Spins China’s Bad-Loan Data
byIn a recent speech at Bloomberg’s headquarters in New York, People’s Bank of China Deputy Governor Yi Gang reassured his audience on the level…
Will technology change the prospects for emerging market growth?
byThe challenge to low-cost manufacturing in emerging markets is from technology Some industries will benefit but many jobs will be displaced globally The mercantilist…
Fed’s policy of price stability results in more instability
byFor most economists the key factor that sets the foundation for healthy economic fundamentals is a stable price level as depicted by the consumer…
The mystery behind economic growth
byWith sound money and free markets, the evolving production of businesses increases the purchasing power of money over time. We learn, out of the…
US 30yr Swaps have yielded less than Treasuries since 2008 – does it matter?
byWith 30yr Swap yields below T-bond yields arbitrage should be possible Higher capital requirements have increased the cost of holding T-bonds Central clearing has…
Give us another Oil boom
byDear Lord, Y’all give us another oil boom… If there is one sector of the US economy where an Austrian-style Boom-and-Bust bust has taken…
‘Nowhere To Go But Up’ Survives Because The Fed Refuses To Be Honest About Its Assessment of the Output Gap
byby Jeffrey P. Snider The Federal Reserve under Ben Bernanke committed several unforgivable mistakes during his tumultuous tenure, but cumulatively they could be easily…
Zero Hedge: Two Fed Presidents Warn Markets Getting “Frothy”, Valuations “May Come Down”
byIn what was the clearest sign to date that the Fed is targeting the stock market bubble with its rate hikes (recall two weeks…