70 Words

Government as Insurer

03/14/2013

Our government runs the FDIC to protect us from bank failures, the Pension Benefit Guarantee Corporation to protect our pensions, Medicare, Medicaid and Obamacare to protect our health, FHA, Fannie and Freddie to guarantee our mortgages, Social Security to protect…

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Minimal Migration

03/13/2013

Youth unemployment in Spain is 56%, in Greece it is 58%, while in Germany it’s 8%. This should cause a mass influx of youth from these peripheral countries to Germany. Surprisingly, it’s not. Between 1/12 and 6/12 just 3,900 Spaniards…

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Pollution Problems

03/12/2013

The amount of heat-trapping carbon dioxide emitted in 2011 rose by 3% (a billion tons) from 2010 to 38.2 billion tons. Of the planet’s top 10 polluters, only the USA and Germany reduced emissions. China emitted 10 billion tons, up…

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Work? No Thanks

03/11/2013

While the February unemployment rate eased from 7.92% to 7.74%, 40% of the fall resulted from a decline in the civilian labor force of 130,000 due to both the weak economy and retiring Boomers. As a result, the labor force…

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Number Games

03/08/2013

The Friday File: Despite being spectacularly counterintuitive, Benford’s Law states that leading digits (the number 8 in 8,456) are unevenly distributed. Benford found that one is the leading digit 31% of the time, two 17% of the time, three 12.5%,…

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Fisher at the Fed?

03/07/2013

With Bernanke’s term at the Fed up in January, Obama will have to name a successor. That person should be Stan Fisher. In addition to having an outstanding record as Governor of the Bank of Israel, he’s a skilled diplomat,…

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Bye Bye Bankruptcy

03/06/2013

In a sign of reduced economic stress among households and firms, total US bankruptcy filings are down. They fell from 104,537 last February to 82,285 this February, a fall of 21%. Consumer filings declined from 99,378 to 78,611 while commercial…

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Cashless Cyprus

03/05/2013

While small, the Cypriot bank bailout is causing heartburn across the Eurozone. At its peak, the banking sector had assets eight times GDP and now needs $13 billion. If Cyprus borrows the money, their debt-to-GDP ratio becomes unsustainable. Writing down…

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Tough Tax

03/04/2013

While imposing a financial transaction tax (FTT) on purchases of stocks, bonds, options and derivatives will reduce trading and may raise revenue — if traders don’t move their business elsewhere which is usually the case — it also increases volatility,…

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Papal Probabilities

03/01/2013

The Friday File: With a papal conclave fast approaching, Cardinal Peter Turkson from Ghana is the leading contender with odds of 11-4 that he leaves the conclave as pope. Next is Archbishop Angelo Scola of Italy at 3-1 and Cardinal…

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