economia dell'orrore

To avoid overpaying the toxic assets the plan should ask the bank managers to contribute, alongside the FDIC and the Fed, to the debt financing of private investors. To reduce the risks for the…

The new plan to rescue banks, as described by the New York Times, looks a lot like all the older plans. The basic idea seems to be always the same: overpay the toxic assets using taxpayers' money.

Riflessioni sparse sulla crisi, all'inizio della settimana "decisiva" numero ... ho perso il conto.

A few things I learned.

Of traps and mice.

Abbiamo bisogno di uno stimolo fiscale ben maggiore. [Quanto segue è stato tradotto a macchina da Google, quindi okkio alle assurdità. Consultare il testo in inglese per i dubbi. NdR]

We need a larger fiscal stimulus. [This is part III of a seven-part (!) discussion. Part I, II and IV ...]

Consideriamo il secondo mito nella lista. Questo è il mito che ha condotto BB&Co, il mese scorso, a decidere la riduzione dei tassi d'interesse sui fondi federali a zero. Mi viene detto che persino…

Let's look at the second myth. The one that lead BB&Co to cut the Fed Fund Rate to zero last month. Even Bob Lucas, I am told, approved of it. I do not: it is either useless or, most likely, damaging…

I find the ongoing public debate on the "crisis" and its "solutions" misguided. It is a "100-times larger" replica of the one that took place in 2001-2003 (and gave us the policies the effects of…