201006.30
1
0

No More Benefit of the Doubt

Up until now, I’ve always tried to give the Obama administration the benefit of the doubt when it comes to economic policy. I have always tried to see their side of the argument and assumed they were operating in good faith. Economics is not an exact science and all of us who opine on the…

201006.30
0
0

Getting Austerity Wrong

I wrote yesterday about the austerity debate and today David Leonhardt tackles the subject in the NYT: The world’s rich countries are now conducting a dangerous experiment. They are repeating an economic policy out of the 1930s — starting to cut spending and raise taxes before a recovery is assured — and hoping today’s situation…

201006.29
0
0

Paul Krugman: Irony Impaired

The big debate recently in economic policy circles is the effect of cutting budget deficits rather than continuing to spend until the recovery is self sustaining. Leading the spend our way to prosperity camp is the US and specifically Paul Krugman. Their argument (and I’m simplifying) is essentially that the stimulus wasn’t big enough and…

201006.28
1
0

Will Stock Prices Follow Dividends

The short answer is yes, eventually. And right now the dividend picture is improving: A widespread recovery is under way among companies that throw off cash to shareholders. Since January, 136 companies in the Standard & Poor’s 500-stock index have either increased their payouts or initiated new dividends, collectively bolstering payments by $11 billion this…

201006.27
0
0

Weekly Economic and Market Review

The economic data last week was mixed and the market managed to give back all the gains of the week before and yet for some reason it feels like last week was a pretty good week. Why in the world would I say such a thing? Well, because the markets that aren’t stocks had some…