Economic Reason
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Posted 2 weeks ago
Deluded by low inflation expectations, the Federal Reserve and thus, world monetary policy, have been drifting farther and farther away from a neutral monetary policy stance in recent years. World mon
Posted 3 weeks ago
Monetary policy is sometimes said to be pushing on a string if one wants to emphasize the ineffectiveness of expansionary monetary policy. However, I think that this expression is misleading - i
Posted 4 weeks ago
In his recent Remarks on the economic outlook in Barcelona, Chairman Bernanke included a chapter on The Sources of the Financial Turmoil: A Longer-Term Perspective . According to Bernanke, the l
Posted 5 weeks ago
A recent testimony by Michael Masters before a Senate Committee stirred some controversy about the influence of speculators on commodity prices. Masters claims that institutional investors are contri
Tags: inflation
Posted 5 weeks ago
Excellent article by Satyajt Das on What is to be done . My own guess is that things will indeed be done accordingly, however, not yet. Till then, more problems can be expected.
Posted 6 weeks ago
The oil price shows signs of a typical speculative bubble, which could burst any moment now (see for example December 2010 crude oil). In the longer term, the fallout from the oil bubble could be a st
Tags: precious metals
Posted 15 weeks ago
The term bubble has become a commonplace. For every item which goes up in price, a pundit can be found who identifies a bubble. We are experiencing a veritable bubble in bubbles, so to speak.Spe
Posted 16 weeks ago
Another brilliant analysis by Eric Kraus from Moscow: Against Respectability. Highly recommended!
Posted 17 weeks ago
Many a central banker believes that inflation expectations are a main determinant of inflation, i.e. that inflation is an expectations phenomenon. Consequently, they take much comfort from the fact t
Tags: inflation
Posted 20 weeks ago
Why does economic forecasting fail so miserably from time to time? Or, more generally, why do quantitative methods in social sciences not work? Or, particularly, why do 30 years of academia not necess
Tags: economics
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