Guns and Gold

I just read this in today’s Daily Reckoning. “Once they get a taste for it,” Bill Bonner observed in his essay “Tomorrow Happened Yesterday”, “few economies can resist spending money they didn’t earn. First, they borrow from the future. Then, they steal from it, by simply printing money. Finally, you get déjà vu, as yesterday’s […]

$4 trillion in cuts?

According to several stories today (here’s the Washington Times version)  the GOP has proposed a budget that cuts $4 trillion dollars. A Republican plan for the 2012 budget would cut more than $4 trillion over the next decade, more than even the president’s debt commission proposed, with spending caps as well as changes in the […]

Debt ceiling reality

I ran across this story on CNN a bit ago.  It’s titled “Debt ceiling: Time to get real” and it’s written by “Jeanne Sahadi, senior writer” Hey I thought, lets see what CNN has to say, maybe they’ll inject some facts into the stupidity about this that I’ve been hearing lately. So I read it.  […]

Arm the rebels?

WTF has the “no fly zone” in Libya morphed into now?  Obama is turning into moron GW in front of our eyes!!  According to this story from BBC , “US President Barack Obama has said he does not rule out arming the rebels seeking to overthrow Libyan leader Colonel Muammar Gaddafi.” So we went from […]

Cash for Congress – err – Clunkers

Cash for clunkers seems to be all the rage this week.  Hundreds of news stories and blog posts are telling everyone how successful it is, how it RAN OUT OF MONEY IN ONE WEEK when it was supposed to last until November, and how this will boost the economy. Bullshit. Here’s an excerpt from the […]

Consumer Debt

Get used to this headline.  U.S. consumers fall behind on loans at record pace According to the story Soaring U.S. unemployment and a shrinking economy drove delinquencies on credit card debt and home equity loans to all-time highs in the first quarter as a record number of cash-strapped consumers fell behind on their bills. Delinquencies […]

The lesson of Ireland

In the NY Times today, Paul Krugman does a good job of explaining why Ireland is in deep trouble.  Unfortunately, Mr. Krugman draws the wrong conclusions from the Irish experience – he thinks we need to nationalize banks, when the lesson to learn is to not bailout private banks. Mr. Krugman says Last September Ireland […]

A dialogue with Geithner

Today’s Daily Reckoning had a good piece (as usual) from Bill Bonner.  He had an imaginary conversation with Tim Geithner about how to handle the debt bubble.  I wish I would have thought of that, but I’m not known for being original.  🙂  Here’s part of the conversation where Tim calls up Bill and asks […]

Just a few facts

I was commenting on a post on KnoxViews.com tonight, and it occurred to me to make a simplified chart of the depression era showing how government spending does not equate to economic stimulus for the economy. Here’s part of my comment and the new chart. A popular misconception is that Hoover cut spending and Franklin […]

A deficit dummy

It’s easy to find dumb articles on the economy these days, but this one by Robert H. Frank in the NY Times is quite possibly the dumbest collection of nonsense that I’ve read in quite some time. Mr. Frank is an economist at Cornell – evidently Cornell has loose requirements on who can claim that […]