The 40-year expansion of credit – the debt supercycle – is over. Its passing means you must re-think how economics and markets ‘work’. Of course economics and the market will still work in the same way they always have. They simply reflect billions of individual decisions made on a daily basis.
December 22nd, 2011 | Greg Canavan | 2 comments | ContinuedAll Posts Tagged With: "recession"
Unpopular Cures for the Unemployed
In 2007, just 10% of the unemployed had been jobless for 6 months or more. Today, the total is 40%. And with so little growth in the job market, many of these unemployed people will never work again.
December 15th, 2011 | Bill Bonner | 0 comments | Continued
Global Economy Gloom
Not much action in the markets on Friday. It was a helluva week, though. The global economy was brooding.
November 22nd, 2011 | Bill Bonner | 0 comments | Continued
The Legacy of the Current Recession
Epithet for a doomed economy…What will they say? How will they describe the ’00s and ’10s? Irish Prime Minister Brian Cowen was accused of being drunk when he gave a “croaky” radio interview two weeks ago. He denied it. But we’d be tempted to turn to the bottle too…
September 30th, 2010 | Bill Bonner | 0 comments | Continued
Recession Officially Over… Someone Tell the Unemployed
Officially, the recession is behind us. That’s the good news. Officially, it ended in June of ’09. The bad news is – so what? Recession or no recession, people are having a hard time finding jobs and making ends meet. The US economy continues rumbling and trundling along.
September 24th, 2010 | Bill Bonner | 0 comments | Continued
Capital Inadequacy Government Spending Even the Tea Party Can Get Behind
The newly-declared end-date to the recession also confirms what many had suspected: The 2007-9 recession was the deepest on record since the Great Depression, at least in terms of job losses. From December 2007 to June 2009…
September 23rd, 2010 | Bill Bonner | 0 comments | Continued
Buffett Commands
Buffett, in his role as aloof spokesman for a bygone era, said, “I am a huge bull on this country…We will not have a double dip recession at all. I see our businesses coming back almost across the board.” All of that is interesting. But only some of it is relevant. Berkshire Hathaway’s shareholders would be more concerned with the actual performance of its units than how Buffett feels about America. But to the extent that Buffett himself has become a brand (cliché)…
September 14th, 2010 | Dan Denning | 65 comments | Continued
Beware the Market Maniacs
The Fed came out with a report from its regional banks. Almost all the indicators showed a slowing economy. Not that we’re headed into a double-dip. We haven’t even gotten out of the first dip yet. Here’s Bloomberg with the news:Banks: ‘Widespread Signs of a Deceleration’ in Economy…
September 13th, 2010 | Bill Bonner | 0 comments | Continued
Healthy Correction or Ailing Recovery?
You’ll recall that when we left off last week, Ben Bernanke assured the world that while the recovery was not exactly what he had hoped for, he nevertheless had the situation in hand. He said he had the tools necessary to fix the problem and would do whatever was required.
September 1st, 2010 | Bill Bonner | 2 comments | Continued
Zen and the Art of Economy Repair
According to an article that appeared in The New York Times, written by Norihiro Kato, the Japanese have gotten good at sloughing off their worldly cares. Japan is no longer the world’s number two economy; it was eclipsed this summer by China. But the Japanese are used to slippage.
August 30th, 2010 | Bill Bonner | 2 comments | Continued
The Mistake-Correction Cycle of Real World Economics
In the real world, the economy is always making mistakes and always correcting them. Making mistakes and correcting them. And markets are always discovering what things are worth. They figure out what one thing is worth, conditions change and they change their minds.
August 30th, 2010 | Bill Bonner | 1 comment | Continued
The Dawes Premonition
When a blind mathematician exits the market because an ominous technical omen indicates a crash ahead, what do you make of it? Last week the whole internet was abuzz with the phrase “The Hindenburg Omen.” The “Omen” is actually a convergence of technical and momentum indicators which, when sighted, usually leads to a big market correction. Its creator Jim Miekka has used it to forecast major market tipping points.
August 24th, 2010 | Dan Denning | 18 comments | Continued
Economic outlook – look out (take 2)
Double dippers are on the rise. Nouriel Roubini: “Risk of a double dip recession in advanced economies (US, Japan, Eurozone) has now risen to 40%.” Robert Schiller: “… also said last week that there’s a greater than a 50 percent chance of falling into another downturn.”
August 21st, 2010 | Nickolai Hubble | 83 comments | Continued
Exporting Economic Growth
Nothing much happened on Wall Street Friday. Gold…stocks…held more or less where they were. So, we take up another week…wondering…waiting…trying to puzzle out what is going on. Just like every other week! Economists are finally beginning to ask questions. How come the economy isn’t doing better?
August 17th, 2010 | Bill Bonner | 0 comments | Continued
Inflate Your Debts Away
You can recover from a fall. You can recover from a broken heart. You can recover from a head cold. You cannot recover from death. You can only become a zombie. The US economy merely became more zombified, after the crisis of ’07-’09. Houses are underwater. People are living on food stamps and unemployment compensation…
August 3rd, 2010 | Bill Bonner | 3 comments | Continued
