Posts filed under “Really, really bad calls”
I’ve always been grateful that Rudy Giuliani was NYC mayor during the 9/11 attack. He was reassuring during a moment of crisis, when leadership was otherwise missing. He stepped into the void after the attack, while others seemed to disappear. Giuliani’s political career — which was in tatters at that time — was rescued by his leadership.
But I’m watching Rudy speak on CNBC about bank bailouts and bank regulation — and I am comforted by the simple fact that he is not in charge. As critical as I have been about the Obama administration’s economic approach, it has been about the policy response, not the understanding of the crisis.
The mayor, on the other hand, is frighteningly clueless in a Phil Gramm kinda way — he clearly does not understand how the crisis occurred, what caused the collapse, and how to fix it. Instead spouts the same discredited meme — that too much regulation was the problem. He is old school, well coached in free market aphorisms and now discredited market worship.
Its a shame that none of the anchors queried him as to what current regulations he would get rid of. (Nothing like letting a hanging curveball pass you by for a called strike).
Video at CNBC.com
“This book will convince you of the single most important fact about stocks at the dawn of the twenty-first century: They are cheap….If you are worried about missing the market’s big move upward, you will discover that it is not too late. Stocks are now in the midst of a one-time-only rise to much higher…Read More
There is an excerpt of Speech-Less: Tales of a White House Survivor by ex-Bush speechwriter Matt Latimer in this month’s GQ. I wouldn’t have paid much attention to this — although some of it is hilarious — except for the knee jerk response from the former Bushies. See Bush vets: Who is Matt Latimer?. I…Read More
The Securities and Exchange Commission has proposed halting high frequency and flash trading. In response, Nasdaq (and others) are now prohibiting flash orders. Supposedly, the NYSE is also considering banning the practice. This was a given. The real question that remains unanswered and demands a thorough investigation is this: WHAT EXCHANGE OFFICIALS APPROVED THIS? WHO…Read More
Ben Bernanke has declared the recession over. This leads to one simple question: Why should you care what his recession forecasts are? Based on his track record as a forecaster and his acumen in identifying economic problems before they exploded, his views on starts and finishes of recessions are, to be blunt, irrelevant. Recall it…Read More
While everyone is so focused on the anniversary of Lehman Brothers (9/15) and AIG (9/16), today is a different sort of anniversary: Its been exactly one year months since the single dumbest column ever published in The Washington Post appeared: Quit Doling Out That Bad-Economy Line. Breathtaking in its ignorance, shocking in its fallibility, astonishing…Read More
Category: Really, really bad calls
Here it is, one year later, and we continue to hear an enormous amount of misinformation about the Credit Crisis: What were the actual causes, what could have been done, what should have been done. Lets consider the most widely held myths as the the cause of the crisis (skipping discredited nonsense). Here is a…Read More
Tyler Cowen’s NYT column today, Where Politics Don’t Belong, comes perilously close to the mark in identifying the key problems of the bailouts: They encourage a reliance on special Government dispensation, regulatory exemptions and taxpayer handouts: “FOR years now, many businesses and individuals in the United States have been relying on the power of government,…Read More
This has to be the single dumbest thing I have read in months: Investment Bank Profits May Drop on Regulations, JPMorgan Says. (Note: I am referencing the analyst report, not the Bloomberg story) Here’s a news flash: With the least amount of regulatory oversight in generations in the 1990s and 2000s, bank profits were less…Read More
In keeping with our theme of beating the mainstream press by months and sometimes years — I always try to beat the Noble Laurelates by at least 6 months — I wanted to point to both the massive Krugman piece in the Sunday Times Magazine, as well as referencing similar themes we’ve hit upon over…Read More