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Pushing ChinaPAUL KRUGMAN'S latest column, on China's management of the renminbi-dollar relationship, is kind of inflammatory. He writes:Although there has been a lot of doomsaying about the falling dollar, that decline is actually both natural and desirable. America needs a weaker dollar to help reduce its t... |
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The British recession continuesTODAY'S big economic story is the news that British GDP declined by 0.4% in the third quarter. Output has now contracted for six quarters, making this the longest postwar recession for the British economy, and GDP is 6% below its previous peak.The financial papers are largely framing this as a sh... |
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Link exchangeTODAY'S recommended economics writing:• Ask a nineteenth-century whaling expert (about substitutes for energy sources). (Crooked Timber) • "So in my view, the financial system problems preceded the initial decline in employment and output. That doesn't preclude the possibility of t... |
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Wall Street gets a pay cutTHE Federal Reserve released a new proposal today for oversight of pay structures at large banking operations, but it has drawn relatively little attention, having been overshadowed by pay czar Kenneth Feinberg's ruling on pay at the firms which received the most federal assistance during the cri... |
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Monkey economics research of the dayVIA Brad DeLong, here is some fun research (PDF):Behavioral economics has demonstrated systematic decision-making biases in both lab and field data. Do these biases extend across contexts, cultures, or even species? We investigate this question by introducing fiat currency and trade to a colony... |
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Today in exchange ratesTHERE'S an interesting News analysis piece up, covering the topic of dollar depreciation and its effect on other currencies. A sample:The ECB will eventually face a problem that some central banks are already encountering. As long as America keeps its interest rates low, attempts by others to tig... |
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