Is Cyprus Europe’s Lehman?

During the summer of 2008 when Lehman began to have trouble, it was offered a lifeline; a loan from Warren Buffet that Lehman CEO Dick Fuld thought was too punitive. When Lehman’s troubles became life threatening a weekend meeting with a brokered merger proved unsuccessful.  The US was able to merge Bear Stearns with JPMorgan; […]

Three things that could change the US outlook for the better. A dispatch from the NABE Annual Meeting

I had the great pleasure to co-chair the 2012 National Association of Business Economics Annual Meeting committee this year. The meeting was 3 days of presentations from top economists from industry, finance, government and academia. Luminaries included Shelia Bair, Bob Shilller, Glenn Hubbard, Roger Ferguson, Jagdish Bhagwati, Torsten Slok, Manuel Balmaseda, George Soros, Perry Mehrling […]

US Credit and Economic Views: It’s the Housing Market Stupid

In the wake of the last real estate crisis in the United States, the Savings and Loan Crisis, house prices also declined (along with commercial real estate) and the economy was a major topic of the 1992 Presidential campaign between Bill Clinton and George H.W. Bush.  Clinton’s campaign director, James Carville coined the phrase “It’s […]

Perception vs Reality – Is There Really an Inflation Worry?

This week’s release of CPI and PPI confirmed our worst fears that inflation would persist despite a weak economy. A full 45% of people surveyed by Kathleen Hays’ show, The Hays Advantage, said that stagflation was the most likely economic outcome. Another 40% said inflation was most likely and only 10% thought disinflation would prevail. […]