bubble

Calculated Risk has a post out today called Bubbles and Employment. The gist of the post is that interest rates play a role in creating bubbles as demonstrated by data on employment and common property yard-sticks like price-to-rent and…

The well-regarded and surprisingly independent Beijing-based media outlet Caijing is no more. The site is up, but the content is frozen in time, nothing having been written since early November. Happily, Caijing editor Hu Shuli has now…

Federal Reserve Chairman Ben Bernanke recently defended the Federal Reserve’s low-interest rate monetary policy which preceded the housing bubble in the United States. Bernanke instead pointed to a lack of regulatory controls as the major…

This quote from Caroline Baum sums things up pretty well about the Fed's complicity in blowing a massive bubble in housing and in stocks before it. I know Bernanke has given this issue a great deal of thought and devoted the Fed’s…

Randy Wray says: The Federal Reserve on Monday proposed allowing banks to park their reserves at the central bank, a move aimed at weaning the economy off extraordinary infusions of cash and curbing inflation. The Fed would create the…

If you asked me this question last year, I would have said yes but not it’s not as bad as Ireland or the U.S. However, the Canadian economy and Canadian banks have weathered the storm brilliantly. So most people think the answer is now no.…

I mentioned comments by former Morgan Stanley economist Andy Xie on reckless monetary policy earlier today. Below are interviews Xie gave with the Financial Times in Shanghai back in September which give a more comprehensive look at his…

Andy Xie believes ultra-low interest rates in the U.S. and elsewhere are fuelling an asset price bubble which will pop dramatically in 2012.  In his view, the policies of the world’s central banks are reckless and will lead to worse…

Hat tip Rolfe Winkler.

The US Department of Agriculture highlights how the United States in the last decade, despite increased aggregate wealth, slid back significantly in terms of food insecurity as measure of poverty. With everyone now focused on the…