Silicon Valley Bank Fails, With Deposits of Many Venture-Backed Companies Frozen. How Bad Will the Fallout Be?
Silicon Vally Bank, the 16th largest in the US, was shut down and put under the control of California Department of Financial Protection and Innovation on Friday. This failure is set to send ripples across smaller technology companies. Even though there is good reason to think that uninsured depositors will eventually be made whole or […]
Biden’s “Buy American” Scheme a Bad Deal for America
In words seemingly echoing his predecessor, President Joe Biden highlighted his “buy American” initiative in his 2023 State of the Union Address last week. “When we do these projects, and again I get criticized for this but I make no excuses for it, we’re gonna buy American,” Biden said. The new rules will require materials […]
Inflation report due Tuesday has the potential to deliver some bad news
Prices are displayed in a grocery store on February 01, 2023 in New York City. Leonardo Munoz | Corbis News | Getty Images Just as Federal Reserve officials have grown optimistic that inflation is cooling, news could come countering that narrative. All market eyes Tuesday will be on the release of the Labor Department’s consumer […]
James Galbraith: The Quasi-Inflation of 2021-2022 – A Case of Bad Analysis and Worse Response
Yves here. Galbraith reviews conventional pictures of inflation, the profile of our current episode, and how it clear did not result from Covid “stimulus” related spending. This piece does a good job of making theory accessible and explaining how it applies to recent conditions. However, readers may quibble with Galbraith not including food shortages (avian […]
On reconsideration, Arthur Burns was still a bad Fed chair
The Economist has an article suggesting that Fed chair Arthur Burns has an undeservedly bad reputation, and “deserves a second look”: Richard Nixon picked Burns to run the Fed, viewing him as a friend who would do his bidding. Despite stubborn inflation, Nixon pressed Burns to cut interest rates in 1971, thinking it would help […]