If you are not reading New Deal democrat as he marks the progress of the economy over the last year, you really should start. The detail on what certain economic markers determine are in his weekly analysis done on a daily basis for various markers. Updating 3 high frequency indictors: no recession yet, but no paucity of yellow flags – by New Deal democrat Aside from the Fed’s rate decision which will be announced this afternoon, it’s a...

[unable to retrieve full-text content]The Collapse of Antiquity: Greece and Rome as Civilization’s Oligarchic Turning Point Available on Amazon The Collapse of Antiquity, the sequel to Michael Hudson’s “…and forgive them their debts,” is the latest in his trilogy on the history of debt. It describes how the dynamics of interest-bearing debt led to the rise of rentier oligarchies Continue Reading The post The Collapse of Antiquity – release first...

Fiscal flows are strong. The economy is good. Powell just sticks his foot in his mouth every time he talks. No big deal. Trade and invest using the concepts of MMT. Get a 30-day free trial to MMT Trader. https://www.mmteconomics.com/ Mike Norman Twitter https://twitter.com/mikenorman Mike Norman Economics: https://mikenormaneconomics.blogspot.com/ Understanding the Daily Treasury Statement video course....

Matt Franko is a very insightful person when it comes to monetary policy, banking regulation, and MMT economics. He talks about the SVB situation, bank regulatory and more. Trade and invest using the concepts of MMT. Get a 30-day free trial to MMT Trader. https://www.mmteconomics.com/ Mike Norman Twitter https://twitter.com/mikenorman Mike Norman Economics: https://mikenormaneconomics.blogspot.com/ Understanding the Daily Treasury Statement video course....

After rooting through the IMF’s World Economic Outlook Data Base, [Richard] Dias [of Acorn Macro Consulting] conducted a comparative analysis of the percentage of global GDP adjusted for PPP between the G7 and BRICS, and made a surprising discovery: BRICS had surpassed the G7.This was not a projection, but rather a statement of accomplished fact: BRICS was responsible for 31.5 percent of the PPP-adjusted global GDP, while the G7 provided 30.7 percent. Making matters worse for the G7, the...

In Moscow this week, the Chinese and Russian leaders revealed their joint commitment to redesign the global order, an undertaking that has 'not been seen in 100 years.'Can this traspire without WWIII, already being waged through hybrid warfare, without going kinetic. If t goes hot, can nulear winter be avoided? These are the questions on the table now that the gauntlet has been thrown down.The CradleIn Moscow, Xi and Putin bury Pax AmericanaPepe Escobar

Anyhow, this exchange led me to believe that regulators applied some common sense to their stress test exercises and examined how bank assets would fare in all bad but plausible circumstances. In the years 2020-21, when 10-year Treasury rates were at times flirting with 1.0 percent, a sharp rise in interest rates had to be seen as a plausible, even if unlikely, possibility.Incredibly, the Fed stress tests did not consider this scenario. This means that the Fed’s stress tests would not have...

Your humble blogger has been saying that the new bank rescue scheme, which is a covert backstop of nearly all uninsured deposits, is a disastrous extension of government support to institutions that are welfare queens save for executive and manager pay levels. And the Fed may make banks’ “Heads I win, tails you lose” bet even bigger by announcing that all deposits will be guaranteed.We’ve argued since the crisis that banking is the most heavily government subsidized industry, far...

In the latest IMF Finance and Development journal (March 2023), there is an interesting article by the former governor of the Bank of Japan, Masaaki Shirakawa – It’s time to rethink the foundation and framework of monetary policy. It goes to the heart of the complete confusion that is now being demonstrated by central bank policy makers. With their ‘one trick pony’ interest rate attacks on inflation, not only have they been inconsequential in dealing with that target (the so-called price...