Tuesday, 22 July 2014

Monthly Archives September 2010

“Rising Gold Prices Affect Local Companies”

Posted by Tom Duncan
September 30, 2010

“In financial circles, analysts credit the rising price of gold to an unlikely duo: investors seeking shelter and central bankers from India, Bangladesh and other developing countries. Both are wary of a falling dollar. It starts with low interest rates. Central banks usually hold currencies from the world’s largest economies — dollars, pounds and yen […]

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The Dollars Demise?

Posted by Tom Duncan
September 29, 2010

“Robert Wenzel has recently started the EPJ Daily Alerts. I try to check it out everyday; it reassures me to know Wenzel is out there, scouring the internet for new developments. (He’s not paying me to say that, but he’s also not charging me for the subscription.) In today’s Alert, Wenzel mentioned that the dollar […]

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“Fed Seminar Probes Financial Reform”

Posted by Tom Duncan
September 29, 2010

“Describing the financial industry as “hobbled, but moving forward,” Carson acknowledged the need for reform, but cautioned that not enough attention has been given to how to pay for it. ‘The cost of what is envisioned here is absolutely staggering,’ Carson said. ‘The number of people (who need to be) employed to comply with the […]

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Money Mischief: Episodes in Monetary History

Posted by Tom Duncan
September 29, 2010

“Nobel Prize-winner Milton Friedman — dubbed ‘the Oliver Stone of economists’ by the Chicago Tribune — makes clear once and for all that no one, from the local corner merchant to the Wall Street banker to the president of the United States, is immune from monetary economics. In Money Mischief, Friedman discusses the creation of […]

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“The Dynamics of Chronic Inflation in Brazil, 1968-1985″

Posted by Tom Duncan
September 29, 2010

“This article develops an error-correction model with the aim of analyzing the behavior of prices during a period of chronic inflation in Brazil. The degree of inflationary inertia is estimated, and tests for the importance of disequilibria in the domestic-money, foreign-goods, labor, and domestic goods markets on inflation are carried out.” Read more. “The Dynamics […]

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“Does Inequality Cause Inflation? The Political Economy of Inflation, Taxation and Government Debt”

Posted by Tom Duncan
September 29, 2010

“The optimal revenue mix is tilted more towards seigniorage if the ruling political party has less of a dislike for inflation, if the costs of collecting taxes are high and the extent of tax evasion is widespread (cf. Canzoneri and Rogers, 1990), and if the financial system is relatively repressed (e.g., Roubini and Sala-i-Martin, 1992). […]

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“The Lag in Effect of Monetary Policy”

Posted by Tom Duncan
September 29, 2010

“First, discretionary policy at times tends to be dominated by goals other than, and even contradictory to, stabilization (for example, pegging bonds yields, halting gold outflows), whereas the automatic framework cannot be so readily exploited for other purposes. Second, the inertia and the political considerations referred to above that inhibit the ready reversal of discretionary […]

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Russia – “Inflation Could Trip New Exchange-rate Crisis”

Posted by Tom Duncan
September 28, 2010

“This happy outcome was a result of serious efforts by the Finance Ministry to contain budget expenditure and by the Central Bank to restrain excessive monetary growth. Inflation control became the most important priority for the government because, apart from aiding economic recovery, a low inflation rate allows the Central Bank to keep its nominal […]

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Here Today, Keynes Tomorrow

Posted by Tom Duncan
September 27, 2010

“Keynesian ideas seem to pop up time and time again, especially in times of crisis. Keynes himself even sensed the impact his theories were going to have. When Keynes was writing the General Theory he wrote to George Bernard Shaw in 1935, “…you have to know that I believe myself to be writing a book […]

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“Thomas Hoenig is Fed Up”

Posted by Tom Duncan
September 24, 2010

“This is Tom Hoenig’s moment, and it’s a strange one. In Washington, he is the burr in Fed Chairman Bernanke’s saddle: the rogue heartland banker who keeps dissenting alone—for the sixth straight time on Sept. 21—to protest the Fed’s rock-bottom interest-rate policy. Hoenig warns that the Bernanke majority is setting the country up for an […]

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