Gold and Gibson’s Paradox
byThere is a myth prevalent today that the gold price always falls when interest rates rise. The logic is that when interest rates rise…
monetary policy
Doug Noland: Credit Bubble Bulletin
byI’ve had similar feelings before, though I recall being less apprehensive. The years 1999 and 2007 are etched upon my mind. The bustling of…
Rigged
by“One woman, who declined to give her name but said she is almost 80, invested RMB 20,000 ($3,200) when the market was at 5,000…
THERE’S Your Hyperinflation!
byHyperinflation is commonly defined as rapidly rising prices which get out of control. For example, the Wikipedia entry begins, “In economics, hyperinflation occurs when…
Bull in a China shock
by“No warning can save people determined to grow suddenly rich.” – Lord Overstone. History, wrote John W. Campbell Jr., doesn’t always repeat itself. Sometimes…
A Complete Guide to European Bail-Out Facilities – Part 2: Target2 & EFSF / ESM
by[This is from 2013, first published here http://bawerk.net/2013/09/05/a-complete-guide-to-european-bail-out-facilities-part-2-target2-efsf-esm/] Today we present the Target2-system and the fiscal bail-out facilities in our series on European efforts…
Which way now – FTSE, Gilts, Sterling and the EU referendum?
byUncertainty is bad for business and the UK will struggle ahead of the referendum Gilt yields have been around 150bps higher than Bunds over…
Zero Hedge: The Greek Bluff In All Its Glory: Presenting The Grexit “Falling Dominoes”
by[Source: http://www.zerohedge.com/news/2015-07-04/greek-bluff-all-its-glory-presenting-grexit-falling-dominoes] Earlier today, Yanis Varoufakis reiterated his core thesis driving the entire Greek approach from day 1 of its negotiations with the Eurogroup: “Europe…
The only game worth playing
by“I cannot leave this subject as though its just treatment wholly depended either on our own pledges or economic facts. The policy of reducing…
News from the richest country on earth
by“The co-authors began working on this book in 1974, just after the termination of President Nixon’s controls in the United States. Since that time,…