Tuesday, September 17, 2013
Financial Meltdown Five Years After
So appropriate that the architect of banking deregulation, Larry Summers pleads that he is not the right person to head
up the Federal Reserve. No S$%#. Well, the Fed is certainly the hot seat under normal circumstances. What will it be like
when the next crisis directly puts into play the reserve currency status of the dollar? Do not worry, anniversaries are supposed
to look at the brighter side. Never mind, our benevolent government is hard at work presenting the public with the kind of
assurance that would make anyone start singing happy birthday. Read the entire article
5:09 am edt
Tuesday, September 10, 2013
Forecasts of a Doomed Economy
Contrary investing used to be a profitable endeavor. Things have changed. The doom business is in full swing as many
financial prognosticators seek to hedge their normally ecstatic outlooks in order to sell their advice. When tragedy becomes
a consensus sentiment, it used to be the time to buy. Now that formula has to factor in a different set of risks. Namely the
incoherent political intrusions and stimulus-austerity gyrations has to head the list. Has forecasting become a lost art or
did it evolve into an algorithm supercomputer project? In either case, the doom factor is sure to continue to be a stable
from the Cassandra circle as long as an economic recovery allures the former members of the middle class. Read the entire article
8:25 am edt
Tuesday, September 3, 2013
Chinese Banks Quasi Government Institutions
When is a bank an appendage of state? In China, the incorporation of commercial banking under the auspice of governmental
policy is virtually indistinguishable. Philosophically, any government should have control of their currency and structure
the precepts of banking and lending system. Capitalist banking would command a greater pragmatic function if competition among
banks was based upon free enterprise. However, under the central banking scheme governments regulate banks, but are creatures
of fractional reserve debt money issued by central bank parentage. The Chinese way has included a touch of mystery when analyzed
within the context of western international banking. Read the entire article
3:38 pm edt
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