Google Analytics

Sunday, August 31

31st Aug - W/E: Markets & Economics

Previously on MoreLiver’s:

Follow ‘MoreLiver’ on Twitter

Popping property bubbles: Choosing the right pinThe Economist
The house prices in Europe are losing touch with the reality again

Global property markets: Frothy againThe Economist
Easy money is inflating rices across much of the globe

What "Smart Beta" Means to UsResearch Affiliates

Emerging Markets, BRICs Breaking Out of Sideways RangeBespoke

Who's afraid of the Big Bad Terrorist?Humble Student
Comparison of market reactions to three terror attacks. Moral of the story: Don't just react to headlines, focus on fundamentals.

A Few Brief Comments on the Technical Condition of the DollarMarc to Market

Worlds Greatest (and Worst) Market Timer ® - The Big Picture

Review: A pained call for radical financial reformReuters
Financial Times writer Martin Wolf’s new book is partly a cogent review of what went wrong in the 2008 crisis. But the message economists and policymakers should focus on, especially from a centrist intellectual, is that the best ideas for the future are far from the mainstream.

Where Danger LurksIMF
The recent financial crisis has taught us to pay attention to dark corners, where the economy can malfunction badly

IMF’s Blanchard Sees Global Economy Too Close to ‘Dark Corners’BB

Bretton Woods II, the India phase?FT
We are part of an international system characterised by newly industrialised countries pegging their currencies to the dollar at an undervalued exchange rate in pursuit of export-led growth furnished by an excess supply of labour. Those developing countries then ship their gains back to the US et al as a form of collateral against new lending as the net foreign assets of poor countries support the risks taken by their richer brethren.

Book Review: The Battle of Bretton WoodsCFA Institute

Better late than never, but early is better stillThe Money Illusion

Money hierarchy, the global perspectiveFT

How To Respond to Someone Screaming About “Money Printing”PragCap

Nobel laureates, halo effects and idiosyncratic marketsCoppola Comment

Print Less but Transfer MoreForeign Affairs
Why Central Banks Should Give Money Directly to the People

Peter Diamond Thinks the Beveridge Curve Might Not Tell Us Much of AnythingWSJ

This time is not that different, long-term unemployment editionFT
The share of long-term unemployed from this recession is about the same as in previous recessions. About 10 per cent of men who are laid off en masse are never employed again. Intriguingly, the overall health of the economy at the time of getting laid off does not seem to play much of a role, although age does.

An Economist Walks Into a Bar | Robert Litan | TEDxKC – Youtube
The surprising role economists have played in the development of the internet economy -- and quite possibly your love life.

Currency Regimes, Capital Flows, and CrisesIMF Journal
Krugman: Ever since Greece experienced its debt crisis, fiscal discussion has been “Hellenized” – that is, there are constant warnings that other countries, including the United States, are on the verge of a similar crisis. But can countries that borrow in their own currency experience Greek-type crises? I argue, based both on evidence and on simple modeling, that the answer is no.

Why we need a fiscal backstop to the financial
In the aftermath of the financial crisis, governments have been reducing their potential exposures to the banking system. This column argues that a fiscal backstop remains necessary for a banking system, contrary to what many policymakers claim. The main reason is that private arrangements may not be sufficient in a severe crisis. Without a credible backstop, depositors will run on a troubled banking system.

Looming AheadIMF
Finance & Development, September 2014, Vol. 51, No. 3 * Five Nobel Prize winners discuss what they each see as the biggest problem facing the global economy of the future * Akerlof: global warming, Krugman: demand, Solow: growth,  Spence: inclusiveness, Stiglitz: inequality

Structural reform lowers country
Countries facing rising risk premiums on their debt have recognised the need for structural reform, but some politicians have argued that austerity is necessary in the short run because structural reform takes too long. This column argues that financial markets can bring forward the benefits of structural reform, and therefore that such reforms should be given greater weight in the package of crisis responses.