Econ70

The Friday File: Despite sitting for hours and exerting themselves in no greater way than periodically extending their arms by maybe a foot, chess players can burn up to 6,000 calories/day during a tournament! That’s three times average consumption and…

After dragging GDP down for six straight quarters, housing looks to finally boost GDP, albeit slightly, in 19Q3! August existing homes sales hit their best level in almost 18 months, August starts were at their highest level since 6/07, mainly…

Given that an impeachment inquiry is just around the corner, and the chances of President Trump being impeached by year end have suddenly doubled to 42%, China now has less incentive to make a trade deal than before. However, the…

The US has recently been exposed to two supply shocks; an oil price rise and the GM strike. Both are likely to reduce growth and push up inflation, but only slightly. It’s because economy-wide spending on oil is down to…

Last week, the overnight repo rate, the rate at which banks and other financial players lend to each other against super-safe collateral jumped to 10% from 2%! While this also happened during the dark days of the Lehman Brothers collapse…

The Friday File: Researchers have discovered that college students were able to keep their hands immersed in cold water for an extra 40 seconds and reported less pain if they used an expletive of their choice while their hand was…

Here’s how to shrink/fix Fannie and Freddie. First, reduce the threshold for a conforming loan to 1.5 times the median price of an existing single-family home, which is currently $284,000. Second, end support for vacation homes and cash-out refi. Third,…

As expected, the Fed dropped its benchmark rate a quarter-point to stimulate the US economy against a backdrop of global slowing, rising trade concerns, and persistently weak inflation. What happens next? Seven of 17 officials expect one more cut this…

China is among the most adversely impacted nations from the attack on the Saudi oil processing facility. As a huge oil importer, China faces higher imported energy prices on top of relentlessly slowing GDP, rising inflation due to tariffs and…

Not only did August retail sales rise a strong 0.4%, but June and July sales were revised up. We care because retail sales are about 25% of consumer spending, and consumer spending accounts for 68% of GDP. Thus, retail sales…