My morning reads:

• Stocks (Finally) Shake the Postelection Blues (WSJ)
• Gold Surges in Popularity, but Is It Stuck Without an Ever-Easing Fed? (Yahoo Finance) but see Capping the Gold Price (FT Alphaville)
• Jack Bogle wants to stop those naughty speculators (Sober Look)
• What could sabotage this stock market? (MarketWatch) but see There’s No Santa Claus Rally? (Barron’s)
• Here’s your best bet to beat a ‘rigged’ market (MarketWatch)
• Google Chairman Says Android Winning Mobile War With Apple (Bloomberg) see also Apple Tests Designs for TV (WSJ)
Bartlett: The Real Long-Term Cost of the Norquist Pledge (Economix)
• The Hollowing Out of America (History News Network)
• Why Too Much Data Disables Your Decision Making (Psychology Today) see also Revisiting why incompetents think they’re awesome (arstechnica)
• Augmented Light Bulb Turns a Desk Into a Touch Screen (Technology Review)

What are you reading?


 Inside the Risky Bets of Central Banks

Source: WSJ

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.

14 Responses to “10 MidWeek AM Reads”

  1. DSS10 says:

    One of the many elephants in the room down here in Washington…..

    “The collapse of the Soviet Union in 1991 reduced this pressure to some degree. Indeed, Bill Clinton was able to follow George H.W. Bush in beginning to reverse the enormous buildup in military spending dating to the Reagan Administration. The restraint on military spending that occurred was a significant factor in Clinton’s ability to reach balanced budgets in his last years.

    And then came September 11, which had two significant — and very adverse — budgetary impacts. First, we entered two wars — financed, in a novel economic approach, by several large tax cuts — which led to upwards of $150 billion a year over and above the base military budget. (The public does not fully understand that the defense budget is paid for to a certain extent as people pay lawyers who are on retainer, but who then get extra funds if they have to go into court.)”

  2. Greg0658 says:

    sabotage this stock market? .. huh – dig a ditch of shorts insurance?

  3. DeDude says:

    Taking 65-66 year old people out of the efficient and low cost Medicare system and putting them into the inefficient and more expensive private health insurance system would cost more overall than would be saved. It is just that the money would no longer come out of the pocket called Medicare. If a “savings” is actually just cost-shifting and will increase total cost can it still be called “savings”?

  4. theexpertisin says:

    I think by reading an early 20th century master historian of the South, Ulrich Bonnell Phillips, a glimpse of why America is hollowing out since the 1970′s is offered. We are paying a stiff price for deeds prior to 1860 and post Civil War national policy action (or inaction) since.

    Off topic: If you haven’t seen Spielberg’s LINCOLN yet, do so. It is an amazing movie.

  5. Jim67545 says:

    Re: Hollowing out… lived not far from Youngstown and Mansfield during those years. Went on line today. I can buy a Chinese made item for $99 and a made-in-Vermont item for $229. I chose the better made, probably longer lasting, Vermont item but doubt that the majority would make that choice.

    Perhaps 10 years ago I was speaking with a businessman who made things out of cherry and maple wood. He was getting beat up by competitors who shipped the logs to China, had the parts made there and sent back. He was losing his customers quickly and was going to move production to China – where he had to train the workers and share his “secrets.” So, was he an active hollow-outer? Or was he just doing what he had to do to survive in some form?

    So, as the ascent of the interstate highway system and access to right-to-work states in the south created an irresistable competitive advantage for garment, textile, furniture and such manufacturing in the SE USA, the cheap labor and containerized shipping created an irresistable competitive advantage in Asia.

    Yes, the VCs and M&A guys cut payrolls, closed plants and such. But, is it accurate to allege that they profited by skimming off the cash generated by this human and fixed asset liquidation or is it a case where the enterprise could only survive at all at a drastically reduced level – perhaps only as a distributor for Chinese made goods which they formally made domestically?

    In today’s quarter by quarter emphasis, how many CEOs would go into a Board meeting and say, “If we invest $500 million in automation and new technology next year we can drive down our product cost to the point where, with gradual increases in wages in China, 15 years from now we will be at parity in terms of our cost structure.”

  6. VennData says:

    Fed Extends Bond Buying Into 2013

    I’m here to tell you that the 1% won’t see a red scintilla of this. It will all go to Obama’s buddies in Chicago.

    – Jack Welch.

  7. VennData says:

    From Marketwatch article by some foreigner named Tadas Viskanta:

    “…If the market were rigged, you’d expect to see the professionals post better results. For now, these managers are having a difficult time beating the market over any reasonable time frame….”

    NO! NO it’s rigged. I am losing, I am a genius, there for it’s rigged!!! They are fixing it for themselves, the liberal elites who have the inside track on all of Obama’s Solyndra’s! The 1% liberal elites who all worship Obama everyday for their power over us!! THEY are the only ones making money and buying everything they can to keep the so-called economy so-called afloat. My view of the economy is based on Hayek and Fox News… one WITHOUT a Federal Reserve, therefore I am right!!! Time to buy more ammo.

  8. willid3 says:

    nationalization works? seems we nationalized AIG? and now its looks a lot better than it did. so shy not the banks?

  9. RW says:

    The Fed takes off the globes and makes the switch to outcomes rather than dates.

    Tim Duy is on the case.

    The increase in buying is significant of course but I regard the switch itself as far more so in particular because unemployment is now a threshold variable on a par with inflation in assessing outcome. That’s big news and a very welcome change IMO.

  10. Wexler says:

    Inspired by BR posting Vampire Weekend vids a while back I kept singing to myself…”who gives a f*ck about a Norquist pledge?” Finally took a couple minutes to create an ode to the GOP…

    (play video while reading lyrics)…hope you enjoy this as much as I did coming up with it…

    Who gives a f*ck about a Norquist pledge?
    I’ve lived on the fiscal edge, too, you fool.
    So if there’s any another way, to boost GDP
    It’s fine with me, with me.
    Why would you strong arm your party that way?
    Especially after the resounding loss.
    Your pledge hasn’t changed a thing.
    All your pontification, dripping with disdain.
    We all know Fox News only tells the truth.

    Who gives a f*ck about a Norquist pledge?
    Or the 47%, too,
    I did
    Your candidate
    Lied about Jeeps in China, and jobs in Ohio, too, too.

    Check Nate Silver, it’s no trick
    Look at the big board, your projections are off
    Karl Rove still doesn’t believe it
    $300 million down the tubes

    Why would Fox lie about how to call a state?
    Why would they lie about something dumb like that?
    Why would Fox lie about anything at all?
    First Virginia, then it’s through the swing states,
    Fox News always tells the truth.

    Tea party wackos, legitimate rape,
    Benghazi conspiracy and a tiny tent,
    same sex marriage don’t make Boehner cry.
    Know your demographics, better luck next time.

    Why wouldn’t you invite Bush to the convention?
    Why would you attack poor Susan Rice?
    Whose chair is empty now?
    Obama doesn’t care about Israel, then Egypt’s all his fault.

    Medicare, Medicaid and Social Security.
    Lindsey Graham says we’re going broke and Grover agrees.
    Fox News always tells the truth.

  11. S Brennan says:

    Chris Lee’s article certainly lends evidence to the claim:

    “why incompetents think they’re awesome”

    It begins with 8 paragraphs of unrelated polemic against those with whom Chris has an axe to grind…and only then..begins to turn towards the subject of the article.

    The vanity encompassed by the use of an established principle to lend credibility to the bludgeoning of one’s enemies who’s relationship to the theory is, at best, tertiary…it is extremely unattractive use of “journalistic” powers.

  12. Frwip says:

    Re: Desk Into a Touch Screen

    That stuff (and a lot more) has been demonstrated years ago at … Xerox Parc, as usual for anything related to user interface.

    In that specific case, the demonstration is dated 1991, 21 years ago.

    Add Moore’s law and shazam!

  13. S Brennan says:

    Pollyanna Demonot and Pollyanna Repunot both agreed that the “fair” thing to do was to make people work longer because “people are living so much longer nowadays”.

    Meanwhile, in Realitiville – USA, grownups worried about the grim statistics:

    “For the first time in American history, the life expectancy of white people, men and women, has actually dropped. Life spans for the lower 50%, in particular, have fallen by about four years since 1990…these numbers come close to the catastrophic decline Russian men experienced in the desperate years following the collapse of the Soviet Union…from 1985 and 2010, American women fell from 14th to 41st place in the United Nation’s ranking of international life expectancy. (American women now rank last of industrial nations) The United States now has the highest percentage of low-wage workers of any developed nation.”

    Not for the faint at heart: