Larry Summers

Who's Really To Blame For America's Accelerating Home Prices?

Fed Chairs Ben Bernanke and Janet Yellen re-blew the Alan Greenspan initiated housing bubble. However, the trend towards higher and higher home prices started well before that dynamic trio made a mess of everything. The following charts show the true origin of escalating home prices...

Inside The So-Called 'Resistance'

"Entropy never sleeps. It works remorselessly to transform things of value into useless, dissipated waste and heat...Hence, the intellectual decay of American life in which spin is everything, anything goes, and nothing matters."

The Final Show Of The Greatest Country On Earth

Yesterday, the Greatest Show on Earth held its final performance in Uniondale, New York, after 146-years in the business. A century ago this would have seemed impossible... And just like how people viewed Ringling Brothers 100-years ago, it’s difficult for anyone to imagine a world in which the US isn’t the dominant superpower...

SocGen: Beware The Ghost Of 1993

"The comparison with 1993 is worthwhile too - it ended badly for asset markets, after all. Whether the Fed should worry about over-frequent excursions to the zero lower bound, or focus on financial sector stability, the risk is plain – super-easy monetary policy is creating artificially low volatility and driving money into trades and investments that are mispriced as a result."

The Real Barack Obama Is Finally Exposed To Everyone

"Denial is an extremely powerful thing, and tens of millions of Democrats were completely bamboozled by Obama due to their personal obsession with the man. This is precisely why cult of personality worship is so dangerous and counterproductive when it comes to politics."

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.

Weekend Reading: Fed Up

"The important point to note here is the historical deviation between exuberance and economic realities has generally NOT been resolved by reality catching up with fantasy. It has always been the other way around."