Yves here. Steve Waldman wrote a definitive post in 2009, Capital can’t be measured, on a core issue that Black discusses here. A key section: So, for large complex financials, capital cannot be measured precisely enough to distinguish conservatively solvent from insolvent banks, and capital positions are always optimistically padded. Given these facts, and I […]
Read more...How can bankers be persuaded or coerced into behaving better?
Read more...A debate on sustainable growth versus degrowth.
Read more...Steve Keen’s macroeconomic model allows him to identify zombies-in-the-making. It’s not pretty.
Read more...Economists bemoan the lack of aggressive fiscal spending after the crisis. Funny how few of them were willing to advocate it when it mattered.
Read more...Believe it or not, a case study on major approaches to investing that is both informative and fun to read.
Read more...If China’s very low level of social capital has long ago made its investment strategy obsolete, that suggests that China has overinvested beyond its capacity to utilize these investments economically. Thus there are hidden losses on bank balance sheets created by the failure to write down physical capital to its true value. In this case Chinese growth cannot help but drop significantly as these losses are finally recognized and as investment levels are sharply curtailed.
Read more...The true destructiveness of neoliberalism is becoming more and more apparent.
Read more...A new IMF paper takes on some neoliberal sacred cows.
Read more...The history, internal contradictions, and frequent mischaracterization of the nature and operation of neoliberal ideology.
Read more...The gap between the posturing and practice of free trade.
Read more...Does helicopter money come with a hidden price tag?
Read more...Neliberalim’s press gangs – forcing citizens to participate in capitalism when even it produces worse outcomes than public ownership would.
Read more...Yves here. In a bit of synchronicity, this post continues the theme of Dipherio’s podcast over the weekend on NAIRU, describing how other central banks around the world look at the issue of what inflation rate to try to achieve and why. I’m a little surprised that Epstein did not mention how the Fed kept […]
Read more...A multi-level, biological perspective on business shows how simple-minded ideas like “maximize shareholder value” and tolerating predators aredestructive.
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