Z$100B Note

This is what focusing on Core inflation gets you!

Zimbabwe’s $100bn note:

“Some Zimbabweans are already calling for higher denominations in a country where the official annual inflation rate has exceeded 2,200,000%. Independent economists believe the real rate is many times higher.

Zimbabwe’s meltdown has left at least 80% of the population in poverty, facing mass shortages of basic goods.

The country’s central bank has introduced several new notes already this year in response to the hyperinflation. In January, a Z$10 million note was issued, followed by a Z$50 million. By June the denominations had reached tens of billions.”

Here’s the most recent currency addition, the Z$10,000,000 note:

The tough thing about the Z$100B Note is getting a cabbie to break one. They rarely have change for anything larger than a Z$50,000,000 note !

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Source:
Zimbabwe introduces Z$100bn note
21:54 GMT, Saturday, 19 July 2008 22:54 UK

http://news.bbc.co.uk/2/hi/africa/7515823.stm

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Category: Inflation

Economic Witch Hunt

Interesting discussion:


"The political establishment is embracing a time-honored response to the nation’s economic turmoil. It’s going on a witch hunt.Politicians of all stripes worry that improper trading by short sellers has contributed to turmoil in the stock markets. And "excessive" oil traders have replaced oil-company executives — themselves twice keelhauled by congressional committees this year — as the bogeymen behind the run-up in gas prices.  For Washington veterans, the sharpened attacks are the incarnation of a standard political trope, one found especially in election years"



Source:
Economic Woes Get a Fix: Witch Hunt
GREG HITT
WSJ, July 19, 2008; Page A3
http://online.wsj.com/article/SB121642556479566791.html

Category: Markets, Taxes and Policy, Video

New York Times Fawns Over Erin Burnett

Category: Financial Press

Rescue Plan!

Category: Bailouts

Its Unanimous: Banks Have Bottomed!

Category: Contrary Indicators, Credit, Dividends, Financial Press, Valuation

Moral Hazard & Risky Precedents

Excellent discussion from PBS News Hour, on Moral Hazard:
click for video
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Pbs_moral_hazard

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Sources:
Bailout of Mortgage Firms Could Set Risky Precedent  (Transcript)
July 18, 2008   
http://www.pbs.org/newshour/bb/business/july-dec08/bailouthazard_07-18.html

Audio Recording
http://www-tc.pbs.org/newshour/rss/media/2008/07/18/20080718_risky28.mp3

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Category: Bailouts, Credit, Video

Gramm Gone

Category: Economy, Politics, Psychology

Traffic Peaked Again Near Short Term Bottom

Category: Contrary Indicators, Psychology, Web/Tech, Weblogs

Household Visitors

Category: Credit, Real Estate

Bailout Nation: Treasury, SEC on Bailouts

I did three segments Tuesday on Yahoo Tech Ticker at the Nasdaq: 

Here is the last, on Bailouts, Fannie & Freddie:

Click for video



Source:
Bailout Nation: Paulson, Cox, Shorts Weigh in On Fannie, Freddie
Aaron Task
Yahoo Tech Ticker, Jul 15, 2008 07:00am EDT
http://finance.yahoo.com/tech-ticker/article/39342/Bailout-Nation-Paulson-Cox-Shorts-Weigh-in-On-Fannie-Freddie?tickers=FNM,FRE,GM,TM,%5EDJI,%5ESPX,XLF

Category: Bailout Nation, Books, Credit, Federal Reserve, Taxes and Policy, Video