Information about finance, the economy and business. Entertaining and informative. Seeking Alpha Certified Mark Sunshine Chairman & CEO

Category Archive: economy

  1. Playing The Patterns — A Guest Article By Phil Davis

    The below is a guest arti­cle from Phil Davis of Philstockworld.com, one of the fastest-growing stock and option trad­ing newslet­ters on the Web.  Phil will be my spe­cial guest on Saturday’s Sun­shine Report, my weekly radio show which runs from 12 PM to 2 PM on Boston WWZN 1510 and is simul­cast on http://lightningstream.surfernetwork.com/Media/player/view/wwzn3.asp?call=wwzn&skin=WWZN. I know you […] [read full story]

    Posted in: economy, Finance, Guest Blog, Phil Davis, Stock Trading
  2. How Did Economists Blow It (Part 2)? – They Missed The Negative Externalities of America’s Limited Liability Society

    Paul Krugman’s New York Times Mag­a­zine arti­cle of Sep­tem­ber 6th main­tains that exter­nal­i­ties are the most impor­tant fac­tor in mar­ket fail­ures, but then never con­sid­ers whether or not large “exter­nal­i­ties” caused the fail­ures of 2007. By ignor­ing exter­nal­i­ties, the usu­ally bril­liant Mr. Krug­man illus­trates why econ­o­mists didn’t see the mar­ket crash and Great Reces­sion. The unin­tended and unrec­og­nized effects of neg­a­tive exter­nal­i­ties were prob­a­bly the largest fac­tor that con­tributed to the sum­mer of 2007crash, yet econ­o­mists vir­tu­ally ignore these cul­tural and soci­o­log­i­cal phe­nom­ena that almost resulted in eco­nomic sep­puku. [read full story]

    Posted in: economy, Finance, New York Times, Paul Krugman, Politics, Public Policy
  3. $11 Trillion In Debt — Who Cares? – A Guest Post By James Sunshine

    OK…I confess…James Sun­shine is my son. He is a fresh­man at Emory Uni­ver­sity and wrote the below op/ed for the Emory Wheel. Of course I am very proud of his work. He says that he writes bet­ter than his Dad and that he is smarter. What do you think? He may be right!! As the national […] [read full story]

    Posted in: China, Economic Statistics, economy, Finance, Guest Blog, James Sunshine
  4. Paul Krugman Gets It Really Wrong In His Analysis Of The Economics Profession

    Paul Krugman’s New York Times Mag­a­zine arti­cle explain­ing the dis­mal state of the eco­nom­ics pro­fes­sion is itself an object les­son in what is wrong with the eco­nom­ics pro­fes­sion.  While Mr. Krug­man is one of the most tal­ented econ­o­mists alive, this arti­cle isn’t an exam­ple of Mr. Krug­man at his best.  Instead of try­ing to fig­ure […] [read full story]

    Posted in: Credit Crisis, economy, Finance, New York Times, Paul Krugman, Politics, Public Policy
  5. W, V, U, L or Z: What Direction Is The Economy Going?

    Almost every day I am asked about the eco­nomic recov­ery and whether or not it is sus­tain­able.  Peo­ple ask because there is a con­stant bar­rage of eco­nomic pre­dic­tions by econ­o­mists that pre­tend that they know what will hap­pen in the future even thought they still can’t fig­ure out what hap­pened in the past.  Lis­ten­ing to econ­o­mists […] [read full story]

    Posted in: Economic Statistics, economy, Public Policy
  6. The Hyper-Inflation Myth

    Con­ven­tional wis­dom is that the Fed’s print­ing presses are run­ning over­time and the econ­omy is awash with liq­uid­ity.  Just yes­ter­day the National Asso­ci­a­tion for Busi­ness Eco­nom­ics reported that almost half the econ­o­mists they sur­veyed believed that Fed­eral Reserve Pol­icy is infla­tion­ary.  Too bad the NABE sur­veyed econ­o­mists and con­ven­tional wis­dom are wrong. Econ­o­mists, pun­dits and jour­nal­ists […] [read full story]

    Posted in: BANKS, Economic Statistics, economy, Federal Reserve, Finance, Inflation, monetary policy, Money Supply
  7. When Things Got Tough Hank Paulson Went Skiing

    Hank Paul­son said the unimag­in­able last week. He tes­ti­fied that he was off on ski­ing when he had his famous tele­phone call with Ken Lewis where he strong armed Lewis and Bank of Amer­ica to com­plete the acqui­si­tion of Mer­rill Lynch. Lewis had pre­vi­ously tes­ti­fied that he thought that Paul­son was on a bike ride […] [read full story]

    Posted in: Credit Crisis, economy, Executive Fitness, Finance, Politics, Public Policy
  8. Small Business Lending Programs Aren’t Working and Need To Change

    Pro­grams to get small busi­ness lend­ing mov­ing aren’t work­ing. Instead of a resur­gence of small busi­ness lend­ing the sit­u­a­tion is get­ting worse. Last week the Wall Street Jour­nal reported that the White House was search­ing for ways to help small busi­ness by unlock­ing frozen credit. This week CIT, the largest small busi­ness lender in the U.S., […] [read full story]

    Posted in: Credit Crisis, economy, Finance, Obama, Politics, Public Policy, Robert Blum, Small Business Lending
  9. Government Accountability Is The Key To Banking Overhaul

    The prob­lem with the bank­ing reg­u­la­tory sys­tem that needs to be fixed is that reg­u­la­tors aren’t held respon­si­ble when they do a bad job. Obama’s focus on new leg­is­la­tion doesn’t do a lot to pro­mote gov­ern­ment account­abil­ity and takes the spot­light off lead­er­ship prob­lems that exist within the var­i­ous reg­u­la­tory agen­cies. The Obama leg­isla­tive pro­pos­als […] [read full story]

    Posted in: Alan Greenspan, BANKS, economy, Finance, Politics, Public Policy, REGULATION, Regulatory Reform
  10. The New Supersized Fed

    Fed watch­ers need to stop pan­ick­ing when they look at the new super­sized Fed bal­ance sheet and mon­e­tary base. The Fed’s bal­ance sheet doesn’t nec­es­sar­ily mean run­away infla­tion is in our future or that the Fed is out of con­trol. The Fed got super­sized because Bernanke & Com­pany came to appre­ci­ate the U.S.‘s spe­cial role […] [read full story]

    Posted in: Bernanke, economy, Excess Reserves, Federal Reserve, Finance, monetary policy, Money Supply, Politics, Public Policy