“People want change; change is coming; it’s as simple as that”
The title of this post is a quote from John McDonnell, an influential MP in the UK’s Labour Party. And the bankers... Read More
Economists Don’t Let Stature or Facts Interfere With Their Pursuit of Flawed Policies
I stumbled across a December 2011 article by Joseph Stiglitz that showed just how committed PhD macroeconomists are to pursuing flawed policies.... Read More
Economists Have No Problem Destroying Global Finance In Order To Avoid Admitting Their Theories Are Wrong
Only a bunch of PhD Economists could have managed to take a bad, but contained problem (aka, the Great Financial Crisis) and... Read More
Economists Discover It’s What You Know For Sure That Just Ain’t So
It has taken over a decade since the Great Financial Crisis started, but macroeconomists have discovered what they knew for sure about... Read More
If Investors …
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I am frequently asked “if investors want more information, why don’t they just ask for it?”. The short answer is investors do... Read More
“How Neoliberal Economists Faith in Themselves Broke America”
The cult of the PhD Economists managed to do what no other country has been able to do: undermine America. Not only... Read More
Cure for Great Financial Crisis Still Proving Elusive
Periodically, it is nice to see I am not alone in what I proposed was and still is necessary to end the... Read More
Volcker Rule Rewritten to Wall Street’s Exacting Specifications
Under the leadership of the Trump Administration, financial regulators rewrote the regulations enforcing the Volcker Rule. The reason given for this action... Read More
Minsky on Transparency
For a change of pace, I will let Economist Hyman Minsky explain the role of transparency in the financial system and how it... Read More
Economists Know Nothing When It Comes to Financial Crises
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While still the Fed chair, Janet Yellen gave an interesting speech on October 14, 2016 in which she pointed out when it... Read More
The Downfall of the Economics Profession: Priors
Mark Twain could have been talking about Economists’ priors (the assumptions they make) when he is credited with observing: It Ain’t What... Read More
Central Bankers Have Only Themselves to Blame for Their Failures
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Raghuram Rajan, a University of Chicago professor, former head of India’s central bank and one of the handful of economists who predicted... Read More
Debunking Bernanke’s Financial Accelerator Model
Recently, I engaged in a Twitter exchange in which I asserted the financial accelerator model proposed by Bernanke, Gertler and Gilchrist was... Read More
The Future of China’s Banking System
China’s current banking system reminds me a lot of the US banking system in the 1920s: opaque and therefore primed for funding... Read More
Is Economics Relevant If PhD Economists Cannot Accurately Forecast Economy?
The Great Financial Crisis was a watershed moment for Economics. The failure of the profession to forecast the crisis and its subsequent... Read More