ETC

Productivity Myths Shattered: Is Productivity Rising Or Falling? Why?

Those who are baffled by productivity never bothered to put their theories to rudimentary tests. Greenspan is correct that social benefits crowd out genuine investment; thus, those proposing some sort of guaranteed minimum living wage are totally off base. Entitlements are already a massive problem, let’s not make them worse.  Massive handouts have never solved any economic problems, and never will.

When Government Evil Triumphs, Freedom Falls

"No matter how you rationalize it, the lesser of two evils is still evil." It is often said that if America ever ceases to be good, she will cease to be great. Unfortunately, the American government has been the opposite of good for too long now... "

 

Jamie Dimon Warns "Something Is Wrong" With The US

"Our problems are significant, and they are not the singular purview of either political party. We need coherent, consistent, comprehensive and coordinated policies that help fix these problems. The solutions are not binary – they are not either/or, and they are not about Democrats or Republicans."

San Fran Politician Considers Legislation To Tax Robots

"We need to think about investments in our society that don’t exacerbate the wealth and income gaps that we already see today.  We don’t want to become a third-world country where there’s a big divide between the very rich and very poor."

Amazon Stock $100 Away From Making Jeff Bezos World's Richest Man

AMZN is now just $100 dollars away from the key $1,000/share level at which point the owner of the Washington Post would surpass $86 billion in value and - assuming MSFT stock does not rise in tandem - would make Bezos the world's richest man.

The Auto Industry Is About To Drive Off A Cliff, Again

We knew cheap money would be too much for auto executives to refuse and oversupply was a sure bet! So will be the industry's return to the Washington "substance abuse center".  Expect the industry to be back at the government feeding trough asking for help.

Why Special Interests Sacrifice The Future For Short-Term Gain

Those who want government to pickpocket others for them go to great lengths to claim special worthiness. However, not only does what they want punish innocent parties, but many of those harmed are future members - often a much larger number - of the “special” groups proponents claim to care so deeply about.

"A Lot Of News Over The Last 72 Hours But None Having A Dramatic Effect On Trading"

Markets seem more concerned about missing the upside associated w/a final tax deal than they are about being caught long on a tax disappointment, thus for the time being headlines such as “Trump and Ryan discuss taxes” or “tax plan makes progress in Washington” will help to buoy stocks more than “Trump has neither a clear WH tax plan nor adequate staff yet to see through a planned tax reform” will hurt them.

High Number Of Consumers See Stock Rally As "Sure Thing"

Gathering bullishness is great for stocks and the prospects for a rally. Once that bullishness hits an extreme, however. the prospects change. Based on the UM Survey Of Consumers, sentiment towards stocks has reached an extreme. And based on that alone, expectations for the next 12 months should be tempered.

The Big Contraction - An Interview With James Howard Kunstler

"We’ve been sowing the seeds for our predicament since the end of World War II. You might even call this process “The Victory Disease.” In practical terms it represents sets of poor decisions with accelerating bad consequences..."

LIBOR Pains

LIBOR is a benchmark reference rate (which explains why some banks were so eager to manipulate it). The pricing of all kinds of floating-rate debt is tied to it (corporate loans, mortgages, student loans, credit card debt, and assorted derivatives, such as currency and interest rate swaps, etc.). That has now become a problem.

Our Economies Run On Housing Bubbles

We want growth by default, we want growth for growth’s sake, without caring much where it will lead us. Maybe we think unconsciously that as long as we can secure growth, we can figure out what to do with it later. But it doesn’t work that way...