This was recorded Thursday, October 14
Source:
Ritholtz: States Slash Budgets While Politicians Debate Austerity vs. Stimulus
Stacy Curtin
Yahoo Tech Ticker Oct 15, 2010
http://finance.yahoo.com/tech-ticker/ritholtz-states-slash-budgets-while-politicians-debate-austerity-vs.-stimulus-535511.html
Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data, ability to repeat discredited memes, and lack of respect for scientific knowledge. Also, be sure to create straw men and argue against things I have neither said nor even implied. Any irrelevancies you can mention will also be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.
"Dollar depreciation leads to higher inflation and ultimately forces foreign creditors to question their rationale and indeed their sanity for continuing purchases of U.S. Treasuries." -Bill Gross
Signs continue that European markets are getting tired. The Spanish and Italian stock markets, big beneficiaries of the sharp decline in their bond yields over the past few months are falling to the lowest since Feb 1. The European bank index is at a 1 1/2 week low after earnings reports from Commerzbank and Credit Ag (RBS bouncing although reporting weaker than expected earnings) were disappointing. This market action is in spite of the German IFO business confidence figure which rose to a 7 month high coming in a touch above expectations and Italian consumer confidence which bounced more than...
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October 16th, 2010 at 7:16 am
Why do folks use Ireland as the poster child for austerity – its main problem is a particularly bad banks?
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BR: Because a) Everyone else’s main problems are bad banks; and 2) Ireland did what the Austerians demanded: Cut spending, lowered taxes, reduced deficits — and turned an economic slowdown into a full blown recession
October 16th, 2010 at 8:18 am
Well everything is relative – are they as bad as spiking the deficit to 32 of GDP? Actually don’t answer that in reality they probably are ;)
“Ireland did what the Austerians demanded: Cut spending, lowered taxes, reduced deficits — and turned an economic slowdown into a full blown recession”
Wouldn’t the Austerians have also added let the banks fail?
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BR: They are not the only ones who wanted to let the banks drop
October 16th, 2010 at 11:16 pm
A growing economy requires a growing supply of money. Federal deficit spending is the government’s method for adding money to the economy. Every depressions and nearly all recessions in U.S. history immediately have followed reduced deficit growth. See: rodgermmitchell.wordpress.com/?s=general
The slowness of our recovery has been caused by the debt-hawks unreasoned fear of deficits. They do not care that millions are unemployed. Their only concern is deficits. Yet, deficits are absolutely necessary to grow our economy. And no, your grandchildren never will pay for them.
One day, the debt-hawks and their followers will come to the realization that federal debt is different from personal debt. Until then, the nation will languish.
Rodger Malcolm Mitchell