Is it worth sacrificing success in good times in order to ensure stability during the bad?  Most quasi-socialist states (ie mainland Europe) say “absolument!”
“A more stable economy in a recession also means a less dynamic, less innovative economy in good times. For all its positive elements, the French model has not yet not incorporated enough [...]

“Welcome” inflation numbers this showed their to be few signs of deflation.  One would expect prices to fall with rising unemployment and falling output.  But then again, there is that issue of printing and borrowing trillions to finance an ever-increasing budgetary black hole being spent to shore up every type of politically-connected US industry under [...]

If only credit ratings had any credibility. Imagine the chain reaction set off worldwide if there is indeed a massive sell-off in treasuries as a result of a potential downgrade. I would guess that the United States would remain the benchmark borrowers for the rest of the world, thus this would raise yields for all borrowers.

They didn’t want to have to do it…but reality sucks.
Falling interest rates, extended loans to banks, 60bn euros into Euro-zone economy.  It’s just a preview.
Link here.

Extensive links between Wall Street and Washington don’t alarm me; what’s most distressing, though, is when the long bond demand collapses. When the 30-year treasury trades at an 8% yield, who is going to take out a mortgage?

…it’s called finance.  (at :44)
Is this an appropriate analogy?  Government sinking vast sums of money and effort into the largest and most powerful companies in the country at the expense of other forms of investment.  Check.
But in most rentier states (Johnson identifies Russia and Indonesia), government money is wasted on suboptimal investment at the expense [...]

Awesomely hilarious.

An evil hedge fund manager has spoken out against Chairman Obama - in written form.
Some highlights:
“If you hired an investment professional and he could preserve more of your money in a financial disaster, but instead he decided to spend it on the UAW so you could “share in the sacrifice”, you would not be happy.”
“The [...]

Following up on concerns being voice all over the place (including this website), the NYT highlights the creeping 10-year UST yield - highest yield since November.  While this is not high by historical standards, there is good reason to think that investors will demand more and more yield out of US treasuries as the government [...]

At least in Venezuela.
What is the broader economic effect of a place where cars appreciate in value (at least in the first couple of years)?  Could this be the answer to Americans’ falling retirement accounts?  Shut down GM and Chrysler, force Ford to limit production, and all of a sudden: poof!  Everyone who bought a [...]