Finally, the Federal Reserves Bailout of Europe Hits Mainsteam
Two weeks ago, we reported here about the Federal Reserve bailing out Euro land via its recently announced discounted currency swaps. Apparently not too many people seemed to care because little was...
View ArticleBernie Madoff for President
The close of 2011 has brought so much liquidity and free money into the system that one has to question whether our central monetary authorities are running one big Ponzi scheme. In the last six months...
View ArticleRounding Errors in the White House
Throughout 2011, the Obama Administration claimed a number of successes at cutting the ubiquitous "fraud, waste and abuse" in the federal budget. According to the White House's website, nearly $8.5...
View ArticleThe Coburn Report and Fraud
Last month Sen. Tom Coburn (R-OK) released a report detailing 100 "unnecessary, duplicative, or just plain stupid projects spread throughout the federal government and paid for with your tax dollars...
View ArticleWhy the Fed Missed the Housing Bust
The LA Times (Jan 12, 2012) recently highlighted the cavalier attitude of Federal Reserve officials in 2006 just before the housing bubble burst.While it's unclear what purpose the article serves other...
View ArticleJapan Steps Up Fed Borrowing: A Good Indicator of a Slow Motion Train Wreck
Last week the Bank of Japan (BOJ) more than doubled their Swap borrowings from the Fed to a total of $20.4 billion. Though this is a quarter of the $82.3 billion the European Central Bank (ECB) has...
View ArticleGreek Debt Talks Stall, Again. What About Portugal?
After another attempt failed to get commitment from private investors on forgiving a portion of their Greek debt, the Institute of International Finance (IIF) maintains that a deal will be finalized...
View ArticleHouse Passes Legislation Putting the GSEs on Budget
The House of Representatives voted yesterday to put Fannie Mae and Freddie Mac on budget. This should be bigger news than anyone is getting it. As the bill (H.R. 3581) would profoundly change the way...
View ArticleWhich is the "Do Nothing" Party?
Recently before Congress Treasury Secretary Geithner responded to a question from Rep. Paul Ryan saying, "You are right to say we're not coming before you today to say 'we have a definitive solution to...
View ArticleThe Coming Greek Default
Over at Reason.com this afternoon, I have a new column on the Greek debt crisis. Last year we looked at the numbers on the blog and came to the conclusion that no matter what happens, Greece is going...
View ArticleThe Concise Case for a Consumption Tax
John Tamny’s RealClearMarkets column yesterday looked at questions regarding the American tax code, the reasons for our high deficit, and the nature of the income tax. He concludes:But as history has...
View ArticleWhy is Europe So Delusional on Greece?
Earlier this week I noted that Europe was trying to buy time with this bailout package offer. Here are a couple of more clarifying explanations for why the EU’s economic ministers are lying to us about...
View ArticleJapan Reports Huge Current Account Deficit. Should the U.S. be Worried?
Last January we highlighted that Japan was stepping up their foreign exchange borrowings through the Federal Reserve. They currently stand at $18.1 billion and have remained about that size since...
View ArticleGet the Government Out of Solar
Could even higher energy prices be on the way for Americans?During his two-day, four-state energy tour last week, President Obama reiterated his strong support for tax-subsidized solar energy. The...
View ArticleDurbin Swipe Fee Watch V: Gas Retailers
It is time for another edition of the Durbin Swipe Fee Watch. Recall that the Durbin Amendment was a last minute measure added to the Dodd-Frank Act. The provision, which directed regulators to cap...
View ArticleHighway Construction As Stimulus? Not So Fast
Real Clear Markets President Obama is sending strong signals that he wants more stimulus spending to keep the American economy out of recession, even if the White House is not saying it explicitly. The...
View ArticleWhat Happened in Stockton?
Last night the Stockton, California City Council voted 6-1 to adopt a spending plan for operating under bankruptcy protection, and to file a motion with the courts to share information from the...
View ArticleLocal, State Governments' Assets Causing Budgetary Pains
For a moment, let's accept President Obama's recent statement on its face value: "the private sector is doing fine. Where we're seeing weaknesses in our economy have to do with state and local...
View ArticleMammoth Lakes, California Files for Bankruptcy
Earlier this week Mammoth Lakes, California filed for bankruptcy, news largely missed in the run up to the Fourth of July holiday. The Mammoth Lakes Town Council voted unanimously on Monday July 2 to...
View ArticleStockton Begins Legal Battle in U.S. Bankruptcy Court Today
Updated on Friday July 6, 2012 at 1:28 PM Eastern.Last week Stockton, California became the largest city (by population) to file for bankruptcy in U.S. history. The initial hearing is today in U.S....
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