Tuesday, January 8, 2013

Tuesday roundup (01-08-13)

Eurozone meltdown 'cannot be discarded' in dangerous mix of global risks, warns World Economic Forum: A dangerous mix of fragile economies and extreme weather has increased global risks, with a meltdown in the eurozone still a threat, the World Economic Forum said. (The Telegraph)

Eurozone unemployment hits another record high (CNNMoney) Eurozone debt crisis: unemployment 'shockingly bad' - IoD: Eurozone unemployment is "shockingly bad" as it hits a record high of 11.8pc in November, the Institute of Directors said. (The Telegraph)

Brussels fears 'poverty trap' for half of Europe as North-South gap widens: Unemployment in the eurozone jumped to a record high of 11.8pc in November as the region slid deeper into recession, with alarming rises across the Mediterranean that threaten extreme social distress. (The Telegraph) Comrade Barroso, the existential threat to the euro is mass unemployment (The Telegraph blogs) Eurozone unemployment hits new high: Jobless rate jumps to 11.8% as data lays bare continued discrepancies between nations in single currency region (The Guardian) EU warns dramatic rise in unemployment in some countries may create new north-south divide (The Associated Press)

Austerity won’t work, says Stiglitz: Stiglitz says the chances of austerity measures improving economies in Europe is close to zero (Live Mint)

Irish house prices to fall another 20pc, warns Fitch: Irish house prices could fall a further 20pc and inflict stiff losses on holders of mortgage bonds, with a growing risk of property defaults across the eurozone periphery, according to Fitch Ratings. (The Telegraph)

Big worries linger for many small [US] businesses: Confidence falls to recession levels (The Washington Times)

U.S. December budget deficit $1 billion, CBO says (Marketwatch) Congress continues to kick the can down the road (The Houston Chronicle blogs)

Fiscal Cliff Deal Added $3.9 Trillion to Debt, Will Devastate Economy by Rep. Robert C. “Bobby” Scott (D) of Virginia (Politic365)

The Trillion Dollar Coin Solution, Or One Coin To Rule Them All: An Idiot's Guide
(The Huffington Post blog) Why Platinum Coin Opponents Are All Wrong (Bloomberg) Be Ready To Mint That Coin (The New York Times blogs) Krugman Supports the $1 Trillion Coin; Why Stop There? I Support the $1 Quadrillion Coin (Mish's Global Economic Trend Analysis blog) America going platinum (The Economist blogs) Explaining the Silliness of the Debt Ceiling and Platinum Coin to The Rest of the World…. (Pragmatic Capitalism) 'Trillion-dollar coin' gets currency online: Some members of Congress, and even Nobel Prize-winning economist Paul Krugman says the president should be ready to "mint that coin!" But does it make economic sense? NBC's Kevin Tibbles reports. (NBC Nightly News with Brian Williams)

Visit NBCNews.com for breaking news, world news, and news about the economy

State comptroller: NY government debt tops $63B (The Associated Press)

128 million Americans are now on government programs. Can America survive as the world’s superpower? (The Telegraph) U.S. Government Increases National Debt — and Keeps 128 Million People on Government Programs (The Heritage Foundation)

Five Years After The Financial Meltdown, The Water Is Still Full Of Big Sharks (Forbes)

TARP is Over, But the Bailouts Will Continue Until the Big Banks are Broken Up — And Washington Knows It (Robert Reich)

Angus King, Senate Newcomer, Joins Elizabeth Warren In Fight To Reform Financial System [Jan. 3] (The Huffington Post blog)

Consumer Credit Rose in November on U.S. Auto, Student Loans (Bloomberg) Americans add debt, but not with credit cards: $16 billion boost tied to non-revolving debt like car, student loans (Marketwatch)

'I paid off $26,500 in debt in less than two years' [paying off first his auto loan and then his student loans] (CNNMoney)

The Legacy of the Fed and the US Experiment with Fiat Currency In One Chart
(Jesse's CafĂ© AmĂ©ricain blog) Inflation Since 1800 – Log Scale (Iacono Research)

Network Rail to cut 4,000 jobs and save £250m a year by centralising operations: It plans to spend £337m between 2014 and 2019 on IT (Computer World UK)

Not Even Close: 2012 Was Hottest Ever in U.S.
(The New York Times) It’s official: 2012 was the hottest U.S. year on record (The Washington Post blogs)

[Meanwhile...] Temperatures off the charts as Australia turns deep purple (The Sydney Morning Herald)

     The aim of this blog is to show (mostly from reports in mainstream respected news sources) that there is reason to believe that both the United States and the global economies remain fragile in the wake of the financial crisis of 2008 and that a number of threats that exist today could, if they worsened, bring about economic depression -- not just a minor depression, but a depression worse than the Great Depression. This blog further attempts to show that the financial crisis of 2008 was largely a result of the devastating consequences of excessive risk taking and the absence of effective regulation of such behavior. Furthermore, this blog maintains that not only have the lessons that should have been learned from this experience not been learned, but that the risks to the economy, including the persistent building up of "too big to fail" institutions, have actually increased since the crisis began. Finally this blog also brings to light, from time to time, reports of a parallel threat to economic well-being developing in the energy industry, which suggest an energy shock may be coming much closer in time than is generally imagined.

No comments:

Post a Comment