The Bowtie Economist's Daily Dose of 70-Word Wisdom


Hot Hand

03/28/2014

The Friday File: After controlling for the location from which the basketball is released and the location of defenders, it turns out there is a small but yet statistically significant “hot hand” effect. When a basketball player is “feeling it”…

Read More

Job Jumping

03/27/2014

The percentage of workers who voluntarily quit their jobs fell to 1.7% of employed workers in January from 1.8% in December, the first decline since 3/13. The number is way up from a low of 1.3% in late 2009 but…

Read More

Housing Holds

03/26/2014

While many fret that existing housing sales have recently been slumping, the angst is misplaced. Since early last year sales have declined 7%, but distressed sales as a percentage of all sales have fallen from 25% of sales to just…

Read More

Bountiful Billions

03/25/2014

In 2013 the Fed earned interest income of $51.6 billion from its vast holdings of Treasury securities, $36.6 billion in interest from its portfolio of mortgage backed-securities and another $2.2 billion from miscellaneous sources. After paying for its own expenses…

Read More

Fed Funds Focus

03/24/2014

The most interesting thing to come out of last week’s Fed statement wasn’t that the Fed Funds rate will start rising in 2015 or that the unemployment rate isn’t the single most important number, but that the Fed expects the…

Read More

Inferior Children

03/21/2014

The Friday File: A product or service is considered normal if demand for it rises as consumer income rises. Good examples include BMWs, vacations to Hawaii, shopping at Whole Foods, and higher education. An inferior good is one where demand…

Read More

Happy Hotels

03/20/2014

2014 is looking good for hotels. Occupancy rates are up 2.1% year-over-year to 64%, the average daily rate (ADR) per occupied room rose 4.8% year-over-year to $114.85 and revenue per room (which includes occupied and non-occupied rooms) was up 7.1%…

Read More

Beijing Bankruptcy

03/19/2014

The decision by the Chinese government to finally let a domestic bond default occur is good, as it may force the market to start pricing in risk. But, investors have no idea why Beijing allowed this default or what criteria…

Read More

Understanding Unemployment

03/18/2014

With unemployment at 6.7%, close to the 6.5% level at which the Fed has said it would raise short-term rates, the Fed must change its short-term interest rate guidance. The Fed is wrestling with how much slack exists in labor…

Read More

Greening of America

03/17/2014

In the six New England states and Pennsylvania, the percentage of persons of Irish heritage is greater than 16% and in Boston it is 24.1%. By contrast in Louisiana, Texas, New Mexico, Utah and California the percentage is less than…

Read More

Recent Posts

Categories

Archives