Will China’s currency depreciation help the economy?
byLast week the Chinese government decided to depreciate its currency on three consecutive occasions. On Thursday the price of the US$ was trading at…
Reserve Judgement
byWith regard to the vexed issue of the renminbi, let’s focus on the basics. The official response to July’s stock market collapse saw loans…
But what does it mean?
by“Risk is what’s left over when you think you’ve thought of everything.” – Carl Richards. By the time this financial crisis is over, a…
Welcome to the world of ZIRP zombies
byInterest rates in the US, Europe and the UK were reduced to close to zero in the wake of the Lehman crisis nearly seven…
Greece crisis proves the need for a currency Plan B
byThe recent Greek capitulation under pressure from other euro member countries, led by Germany, demonstrates that euro members have de factoceded sovereignty over fiscal policy to…
John Stuart Mill And The Dangers From Unrestrained Government
bySource: http://www.epictimes.com/richardebeling/2015/08/john-stuart-mill-and-the-dangers-from-unrestrained-government/ One of the great voices for personal liberty was that of the British economist and political philosopher, John Stuart Mill. His essay,…
The Economy is in Liquidation Mode
byIf you’re an American over a certain age, you remember roller skating rinks (I have no idea if it caught on in other countries)….
Yield Purchasing Power: $100M Today Matches $100K in 1979
byI wrote a story about poor Clarence who retired in 1979, and even poorer Larry who retired last year. I created these characters to…
Economic bust and stable price levels
byThe yearly rate of growth of the personal consumption expenditure (PCE) price index adjusted for food and energy stood at 1.3% in June –…
Gibson’s paradox: the consequences
byWe now have an explanation for Gibson’s paradox (posted here), a puzzle that has defeated mainstream economists from Fisher to Keynes and Friedman. The…