• Kessler: Raise Rates to Boost the Economy (WSJ)
• James Surowiecki: Creative Destruction? (New Yorker)
• Dan Gross: 3 Things Banks Should Do Before They Pay Dividends (Yahoo Finance)
• Small Changes, Big ResultsBehavioral Economics at Work in Poor Countries (Boston Review)
• Possible Early Warning Sign for Market Crashes (Wired)
• A surprising culprit in the nuclear crisis (Boston Globe)
• Banking on a Paywall at The New York Times (Businessweek)
• Can Google help turn trash into gasoline? (Fortune)
• Frank Cottrell Boyce on Filmmaking (The Browser

Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

8 Responses to “Monday Reading”

  1. Amazing Scanning Electron Microscope Photos

    All these pictures are from the book ‘Microcosmos,’
    created by Brandon Brill from London.

    This book includes many scanning electron microscope
    (SEM) images of insects, human body parts and household
    items. These are the most amazing images of what is too
    small to see with the naked eye.

    http://lifeinthekeyofc.waterforlife.ws/archives/457

    Recession? What recession?
    So, it seems that this “global recession”
    has not impacted negatively on everyone.

    Check this out!

    It’s a Mercedes Benz owned by an Abu Dhabi
    oil billionaire.

    Featuring the newly developed V10 quad
    turbo with 1,600 horsepower and 2800nm of torque
    0-100km/h in less than 2secs, 1/4 mile in 6.89 secs

    …….running on biofuel.

    That is NOT stainless steel, people, it is WHITE GOLD!

    http://lifeinthekeyofc.waterforlife.ws/archives/428

  2. Goldman Sachs Still Planning Principal Investments, BofA’s Moszkowski Says

    Goldman Sachs Group Inc. (GS), the fifth-biggest U.S. bank by assets, will continue making principal investments with the firm’s own money because executives don’t think the so-called Volcker rule prevents the practice, a Bank of America Corp. analyst said.

    The analyst, Guy Moszkowski, published a note to investors today after meeting last week with four Goldman Sachs executives in Hong Kong. New York-based Goldman Sachs doesn’t think U.S. legislation passed last year that bans proprietary trading and limits holdings in hedge funds and private-equity funds precludes buying stakes in companies and other assets, Moszkowski wrote.

    “The market interpretation of Volcker rules is that this will be off-limits ahead, but GS believes that many such investments will remain permissible, and will be closing on a ‘meaningful’ one in China shortly,” Moszkowski’s note said.

    On March 11, the China Insurance Regulatory Commission approved AXA Life Ltd.’s sale of a stake in Taikang Life Insurance Co. to buyers including Goldman Sachs, according to a statement on the Chinese regulator’s website. Goldman will get a 12.02 percent stake in Taikang Life Insurance, the statement said. The value of the stake hasn’t been disclosed.

    Moszkowski said that Goldman Sachs’s return on equity, a measure of how well it reinvests capital, will exceed what investors expect if the firm is still allowed to invest on its own behalf. Yusuf Alireza, head of Goldman Sachs’s securities division in Asia, told Moszkowski that principal investments have historically been “one of the key drivers of Asia earning.”

  3. rip says:

    Wow!

    The Boston Globe article documents a huge part of the American nuclear power industry and the influence of Rickover, Westinghouse, and GE.

    That was good honest historical reporting. Kind of.

    Still in control.

    An early mention of sodium breeders as a future possibility. And that was it.

    Absolutely no mention of the French nuclear program based on breeders and how safe they have been.

    So, I’d say with MSM like this, we are still doomed to what they labeled “technology lock-in” .

    I guess it’s kind of like corporatocracy.

    The few elites dictate the truth to the rest.

  4. Carl Icahn says:

    Why Blockbuster Failed

    I liked John Antioco personally. He’s not a bad guy. He was a capable executive, but I wasn’t impressed with his work ethic—his heart didn’t seem in it. When I launched the proxy fight at Blockbuster, the feeling that he’d botched the Hollywood Video deal was widespread. The biggest issue was his excessive compensation package. Investors were outraged that he’d get $50 million if there was a change of control. That was the nail in his coffin. I’ve been involved in many proxy fights, but Blockbuster was easy. We won the vote by a huge margin. Antioco was really unpopular among shareholders.

    I want to clarify a few things here. It’s not true that I controlled Blockbuster’s board. The two directors I brought in were independent, experts in the media industry, and not “my guys”—they sometimes voted against my position. I’m also not so domineering in the boardroom. During the dispute over Antioco’s 2006 bonus, for instance, I was strongly against giving him the money, but even his friends on the board were irate about it. His departure wasn’t just my wish—the board was not unhappy when he left.

    I have a long track record of stepping in as a director and helping clean up companies like Federal-Mogul, Motorola, XO Communications, Philip Services, National Energy, and Yahoo. As a result, I’ve done very well. [Editor’s note: Forbes estimates Icahn’s net worth at $11 billion.] The fact that I can make so much money as an activist investor shows that something’s wrong with governance in most of corporate America. There’s no accountability for CEOs. There are good CEOs and good boards, but too many directors don’t care. Activist investors provide some accountability and can be important catalysts for change.

    Blockbuster turned out to be the worst investment I ever made. It failed because of too much debt and changes in the industry. It had too many stores, Netflix created a better business model, and then Redbox kiosks and the whole digital phenomenon eliminated the need for consumers to go to a separate DVD store. Maybe the board did make a mistake in picking Jim Keyes as Antioco’s successor—Keyes knows retailing and did an excellent job with the stores, but he isn’t a digital guy. I also think Antioco did a good job in executing on Blockbuster’s Total Access program, which allowed customers to rent unlimited movies online and in stores. Over time it might have helped Blockbuster fend off Netflix. But Keyes felt the company couldn’t afford to keep losing so much money, so we pulled the plug. To this day I don’t know what would have happened if we’d avoided the big blowup over Antioco’s bonus and he’d continued growing Total Access. Things might have turned out differently.

  5. gman says:

    Kessler is stupid or talking his book. Wheat already is breaking down. Wages are flat. Housing market just broke to new post crisis lows. CPI is barely back to pre-crisis levels, not even close to trendine.

    I guess his take is deflation is a “defacto tax cut”. Taxes are also at 50 year lows. I guess slavery is also a “defacto tax cut”…at least to the master. If he is not cynically talking his book people should pull there money from his fund.

  6. VennData says:

    Someone’s lying…

    U.S.-Led Assault Nears Goal in Libya

    http://www.nytimes.com/2011/03/22/world/africa/22libya.html

    Confusion Plagues Libya Mission

    http://www.foxnews.com/politics/2011/03/22/confusion-plagues-libya-mission/