The latest additions to my Instapaper, for your reading pleasure:

Karl Marx, Economist? (Chronicle of Higher Education) Marx, it turns out, did not believe in Communism

• Shadowstats: Inflation Actually Near 10% Using Older Measure ( Sounds high to me . . .

Michael Lewis: The Fed Rescue Program Too Bizarre to Be True  (Bloomberg)

• The Wall Street Mind: Anxious… (NY Mag)

• New Questions about Banks’ Force-Placed Insurance Deals (American Banker)

Matt Taibbi: Why is the Federal Reserve forking over $220 million in bailout money to the wives of two Morgan Stanley bigwigs? (Rolling Stone)

• Is Goldman, Wall Street’s Biggest Commodities Bull, Hanging Up the Horns? (

• Americans Decry Power of Lobbyists, Corporations, Banks, Feds (Gallup)

• Manhattan DA Investigates Bear Stearns Mortgage Traders (The Atlantic)

Quite the eclectic mix today.


Use comments to add further reads . . .

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.

28 Responses to “Morning Reads”

  1. rktbrkr says:

    Don’t raise the bridge, lower the river, inflation near 10% using former indexing method, revision in unemployment calculation pulls .4% out of the rate in Jan (nearly equal to the results of multiple stimuli)

    Time and time again changes to gov stats provide better than expected and better than reality results, thats their job and MSM regurgitates the positive headlines on cue.

    Can there be any surprise BBs unparalleled inflationary actions have produced inflationary results. Once again we will see that inflation is like a train, it starts slowly but once it has momentum theres no stopping it, it’s deja vu all over again.

    The recovery is fuzzy but the inflation picture is becoming clearer. A weak jobless recovery with inflation and the headwind of $4 gas – sweet!

  2. rktbrkr says:

    re forced insurance

    these bankers are shameless, no more swiss cheese consumer saffeyguards, these guys deserve a street stomping

  3. Lugnut says:

    I mentioned the RS article in the Cas Schiler thread, feel free to delete the posts. I mentioned only as you were briefly quoted in the article, out of your book.

  4. jonpublic says:

    That Matt Taibbi article has me absolutely fuming.

    I work at a large research university, so I see up close and personal the good that can come out of a few billion dollar operating budget. Tens of thousands employees cranking out the future, literally. Satellites exploring the solar system, crazy medical devices that save babies and kids coming out of college that are so smart, it hurts my brain to think of what they will accomplish in the coming decades.

    To see this level of money just given away to wives of big wigs…. it sickens me.

    We aren’t investing in our future anymore, we are investing in the rich. And the return is terrible.

  5. BP, government win 1st Amendment Muzzle awards
    2 minutes ago

    Associated Press

    (AP:RICHMOND, Va.) Oil giant BP and the Obama administration were among the winners of the Jefferson Muzzle awards, given Wednesday by a free-speech group to those it considered the worst First Amendment violators in 2010.

    BP and the government appeared on the list, compiled by the Thomas Jefferson Center for the Protection of Free Expression, for their roles in restricting news media access to the massive Gulf of Mexico oil spill.

    Other recipients included the Transportation Security Administration, which arrested a passenger who stripped to his shorts to protest security measures; a Mississippi judge who jailed a lawyer or refusing to recite the Pledge of Allegiance and the Virginia prisons agency for banning a “Jailhouse Lawyers Handbook.”

    BP employees and various authorities, including the Department of Homeland Security and the U.S. Coast Guard, repeatedly barred journalists from public beaches or waters as oil gushed out of a underwater well after an oil rig explosion a year ago, the center said.

    “Whether these incidents were collectively intended, or the incidental by-products of an ambiguous policy that allowed BP and government agents too much latitude, the Obama administration and BP share responsibility for having prevented the media from fully documenting the spill,” the Charlottesville-based center said…”

    1) The Obama Administration and BP

    It’s for your own safety. Those oily pelicans are really disguised terrorists.
    For restricting media access to the Gulf oil spill, a 2011 Jefferson Muzzle Award goes to… The Obama Administration and BP.

    Following the explosion on the Deepwater Horizon oil rig on April 10, 2010, the wellhead continued to spew oil for three months. As journalists attempted to document the impact of the oil plume, BP employees and various government authorities—including local law enforcement, the Coast Guard, and Homeland Security—repeatedly prevented them from viewing public areas. Whether these incidents were collectively intended, or the incidental by-products of an ambiguous policy that allowed BP and government agents too much latitude, the Obama Administration and BP share responsibility for having prevented the media from fully documenting the spill. Included among the incidents were the following:

  6. rktbrkr says:

    Inflation snapshot – a friend is flying out of Newark , he does it a few times a year so he knows the prices – which just went up 20% plus a fuel surcharge. I guess the travel industry feels they have pricing power again, don’t think it will hold for discretionary travelers. No real competition for the car service, either drive or take a two step mass transit fandango. He’s thinking about the fandango.

  7. carleric says:

    Can you believe that there are seemingly intelligent reasonable people who support the Federal Reserve?….Bernanke is a damn fool supported by thieves…simply disgusting is how one wuld describe Fed actions….think bribe mney doesn’t work?

  8. forwhomthebelltolls says:

    I’m with you jonpublic

    I normally dismiss Taibbi as a ranting Moonba, but I have to say that he’s finally struck a nerve.

    Jesus Tapdancin’ Christ.

  9. willid3 says:

    you would think the banks (et all) would be smarter than to buy insurance from the non admitted carriers. after all, that means there is nobody making sure that the insurance can pay claims. that means that the high premiums didn’t get invested and lost. and the bank is now out the asset they though they had insured. oh and this is’t just for houses, it will include cars and just about any thing else that is used as collateral.

  10. willid3 says:

    can we really tax cut our way to fiscal sanity??
    or the duality of man?

    probably not.
    its not all that good. but it does point out we can’t just do tax cuts or spending cuts and expect the budget to get better. can’t and won’t happen

  11. beaufou says:

    The great liquidity argument from the FED to stinking rich people, it is no surprise luxury products were doing great while everything else was in the shitter.
    But then again, if you lack a little velocity, there’s always the possibility of inflating gas and food prices, it’s not like the middle class can’t take it.

    “To naive critics this came as just more evidence that the Fed had mistaken the wants of a handful of rich people for the needs of the wider society.”

    I was puzzled at the amount of money AOL gave for the Huff-post, non-remunerated bloggers too I guess:

  12. TripleB says:

    What Does It Take for a Female Tycoon to Get Noticed Around Here?

  13. Chad says:

    What Taibbi uncovers on a regular basis is unbelievable. He is by far the best journalist in the country and easily the best writer.

  14. swag says:

    Is this brilliant, cruel, or both?

    “David Byrne recently settled his copyright complaint against former Florida Gov. Charlie Crist, who used a Talking Heads song without permission in his U.S. Senate campaign, by making Crist film this 90-second abject apology and post it to YouTube”!5791226/david-byrne-brilliantly-and-gratuitously-humiliates-charlie-crist-in-copyright-lawsuit

  15. rustum says:

    Taibbi is a awesome writer. Examples he comes with explain the process creates very good interest.

  16. Stick says:

    As with Smith and Ricardo, those who profess to be ‘Marxist’, ‘Marxian’ or ‘Critical’ have rarely bothered to read the man let alone understand his work. Thanks for the link BR!

  17. [...] link to John Melloy’s post in our early reads caused a bit of a stir. Sure John Williams is a bit controversial, but he has been hammering on the [...]

  18. NotQuiteSo says:

    Dead on, jonpublic. Taibbi’s piece made me ill. The wife of a TARP/TALF CEO recipient plays the TALF game herself. In other words, it seems clear the Macks decided to profit *personally* from TALF and figured out a way to do it.

    The next time we hear blather about the “job creators” out there and the hard-nosed, clear-eyed risk-taking business executives leading the U.S. on the path to prosperity, and the need to incent these people with low tax rates and little or no regulation so we can all prosper, think about this.

  19. gms777 says:

    And a Morning View (not Read)….

    David Stockman saying we are heading for a “thundering conflagration” and may be months, even weeks, from a crystallization of the crisis in which the smart money flees US bonds due to the sleepwalking of our leaders regarding budget cuts…

  20. Theravadin says:

    Re: Taibbi article.

    It might take a few minutes to explain moral hazard to a grade three student.
    When you’re the lender/capital of last resort you charge a premium. I used to know that when I ran a lemonade stand.

    But it would take no time at all to explain heads you win tails I lose to a grade oner.

    Looks like kindergarten at best for the Fed folks…. but jail would be preferable.


  21. formerlawyer says:

    The Do-Nothing Plan
    How Congress can balance the budget in eight years by literally doing nothing. This is not a joke.

  22. Transor Z says:

    WHOOPS: AP Falls For Hoax Press Release Saying That GE Will Repay Government $3.8 Billion Tax Break

  23. VennData says:

    Americans actually think the tax they pay is fair

    You no longer need to wonder why the GOP doesn’t want you to consume this media outlet.

  24. Topspin says:

    That’s right: Muammar Qaddafi received more than 70 loans from the Federal Reserve, along with the Real Housewives of Wall Street.

    What started off as a targeted effort to stop the bleeding in a few specific trouble spots became a gigantic feeding frenzy. It was “free money for shit,” says Barry Ritholtz, author of Bailout Nation. “It turned into ‘Give us your crap that you can’t get rid of otherwise.’ “

  25. Kralizec says:

    Shadowstats: Inflation Actually Near 10% Using Older Measure ( Sounds high to me . . .

    John Williams’s chart, “Annual Consumer Inflation – CPI vs SGS Alternate,” shows annual inflation as averaging 8 or 9% for the last ten years. At such a rate, prices would have increased by 116 or 137% in ten years. Your comment, “Sounds high to me…,” can be understood as a comment on inflation or on Williams’s estimate of it. Now, the opinion that prices have increased some 125% in the last ten years seems absurd to me, so it seems it would be useful to you and your readers, if you made clear your agreement or disagreement with Williams.

  26. lunartop says:

    The Marx piece reminded me of this from last year