Senate drops the ball on Fed's Janet Yellen

From Nouriel Roubini: ten quick tweets on all those questions that ill-briefed senators were “too naive” to ask Janet Yellen, at her Fed hearings. All we got was muddle, posturing, and bluster, illuminating nothing much. The hearings were like many bad press conferences I have covered as a hack, mostly a spectacle of journalists trying […]

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Why Gold Is The Best Money Of Them All, And Nothing Comes Close

If you ask anyone, “what is money?” they can point to a dollar bill, but not define money itself. It’s become so complicated that economists debate what to include in the measure of the money supply. Most don’t believe that gold is money. Nevertheless, gold still behaves as money even though governments have banished it […]

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China Should Issue Gold Bullion Coins That Aren't As Practical In The U.S.

I’m kind of a big picture guy. I would like to see the government of China issue a parallel gold-based currency, in the form of banknotes and coins, for widespread use within China and around the world — or, at least, to sanction some private institutions to do so, as Hong Kong does today. Full banking […]

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No global recovery yet

The world economy is still becalmed. World trade volume fell 0.8pc in August. The next cycle of growth has not yet reached “escape velocity”. We continue to be in a contained global depression, punctuated by bursts of weak growth that peter out. It is not a disaster. It is not healthy either.

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Frexit fever reaches heart of French establishment

Calls for EMU break-up are spreading into the upper echelons of the French foreign policy establishment, and the pro-European core. An astonishing new book by François Heisbourg – La Fin du Rêve Européen (The end of the European dream) – argues that the “euro cancer” must be cut out to save the rest of the EU Project […]

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Much Bigger Than The Shutdown: Niall Ferguson's Public Flogging Of Paul Krugman

While America was distracted by the theatrics of the government shutdown and threat of default something of much greater importance occurred. Niall Ferguson undertook a public flogging of Paul Krugman. Krugman’s horns now forever will show under his dislodged faux halo. For this the world will prove a safer, and much more decent, place. continue […]

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Measured In Gold, The Story Of American Wages Is An Ugly One

Workers’ wages buy less and less. In fact, workers have lost purchasing power during the past half-century. Comparing prices to wages, the Consumer Price Index (CPI) rose more than six times from 1965 to 2011—while the minimum wage rose less than five times. Professionals also suffered. According to the Engineering Workforce Commission, a senior engineer’s […]

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Rise of the Fed

“The Federal Reserve was created as the United States’ central bank in 1913 as a bulwark against the financial crises that rocked the first years of the 20th century. Its founding mission was limited to shoring up America’s private banks and stemming a rash of bank runs in which panicked depositors had withdrawn their savings.” […]

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Rejoice: the Yellen Fed will print money forever to create jobs

“The Fed will be looser for longer. The FOMC will continue to print money until the US economy creates enough jobs to reignite wage pressures and inflation, regardless of asset bubbles, or collateral damage along the way. No Fed chief in history has been better qualified. She is a glaring contrast to Alan Greenspan, a […]

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Sundown In America

“The median U.S. household income in 2012 was $51,000, but that’s nothing to crow about. That same figure was first reached way back in 1989— meaning that the living standard of Main Street America has gone nowhere for the last quarter century. Since there was no prior span in U.S. history when real household incomes […]

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