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

Category Archive: Finance

  1. Why The Government Jobs Policy Isn’t Working

    The U.S. econ­omy is going to be sick until job growth returns and unem­ploy­ment is sig­nif­i­cantly reduced. Pres­i­dent Obama’s eco­nomic team doesn’t seem to know how to stim­u­late jobs growth and what they have tried so far isn’t work­ing very well. While Obama’s pol­icy seems to have stopped jobs from dis­ap­pear­ing, that is very dif­fer­ent […] [read full story]

    Posted in: BANKS, Credit Crisis, economy, Finance, Politics, Public Policy, Small Business Lending
  2. Japan’s Demographic Time Bomb Is Imploding

    Accord­ing to Ambrose Evans-Pritchard Japan is quickly turn­ing into devel­oped world’s sick­est econ­omy and could soon tip into an uncon­trolled down­ward spi­ral. Evans-Pritchard reported last week in the Tele­graph that Japan is reach­ing the point of no return where it won’t be able to meet its oblig­a­tions and could enter a debt death spi­ral. While […] [read full story]

    Posted in: Demographics, economy, Finance, Japan, Public Policy
  3. Home Sick Shows How Work Incentives Matter

    Last Wednes­day the New York Times Economix Blog pub­lished an arti­cle writ­ten by Casey Mul­li­gan that was billed as a sum­mary of how work incen­tives change employee behav­ior. I expected Pro­fes­sor Mul­li­gan to edu­cate read­ers as to how work and com­pen­sa­tion incen­tives change worker behav­ior and effect busi­ness. I quickly real­ized, how­ever, that the real […] [read full story]

    Posted in: Casey Mulligan, economy, Finance, New York Times
  4. The Economy’s Shape Is A Mystery That Isn’t Important To Solve

    Today Cather­ine Ram­pell of the New York Times authored a story in the Week in Review that quoted an econ­o­mist who stated there are “as many views of the econ­omy going for­ward as you have let­ters of the alpha­bet to describe the recov­ery”.  I was dis­ap­pointed by the arti­cle because rather than focus­ing on the […] [read full story]

    Posted in: Credit Crisis, Economic Statistics, economy, Finance, New York Times, Public Policy
  5. CIT’s Management Remains Out Of Touch With Reality" rel="bookmark">CIT’s Management Remains Out Of Touch With Reality

    I have been almost totally silent on CIT’s fail­ure in this blog. The rea­son is that I believed it wasn’t appro­pri­ate to com­ment neg­a­tively on a com­peti­tor or its busi­ness. How­ever, now that CIT has sought pro­tec­tion from its cred­i­tors I no longer feel that I must be silent. Today, at 3:48 PM I received […] [read full story]

    Posted in: CIT, Finance
  6. Hooverism Makes A Comeback In The New York Times

    Last Wednes­day the New York Times Economix Blog pub­lished an arti­cle writ­ten by Casey B. Mul­li­gan sug­gest­ing Pres­i­dent Obama should con­sider let­ting “a bank panic run its course”. While Dr. Mul­li­gan is an Eco­nom­ics Pro­fes­sor at the Uni­ver­sity of Chicago and the New York Times is one of the most respected pub­li­ca­tions in the world, […] [read full story]

    Posted in: Credit Crisis, economy, Finance, Hoover Adminstration, New York Times, Public Policy
  7. Another Big Win For Energy Economics 101: Demand Destruction Isn’t Good For New Investment

    On Mon­day the Wall Street Jour­nal ran an arti­cle that described the end of the golden era for oil refin­ers. It is a great arti­cle that, unfor­tu­nately, was pub­lished many years too late to be con­sid­ered news. Just as grav­ity is a force that brings all objects to earth, pub­lic pol­icy that destroys the demand […] [read full story]

    Posted in: economy, Energy, Finance, Oil, Politics, Public Policy
  8. Bankers Get A Big Surprise: People Without Money Can’t Pay Back Their Debts

    Con­sumer lenders that out­source their credit deci­sions to con­sumer credit rat­ing agen­cies aren’t learn­ing from past mis­takes. By now lenders should have noticed that blind reliance on credit scores doesn’t work. Even so, most lenders con­tinue to dis­re­gard good under­writ­ing fun­da­men­tals and then can’t fig­ure out why they con­tinue to have bad credit per­for­mance. It’s […] [read full story]

    Posted in: BANKS, Credit Crisis, economy, Finance, Politics, Public Policy
  9. Federal Reserve Truth in Lending Rules Needs To Go Back To Grammar School

    I have received a big response to my recent arti­cle about credit card bills and whether or not con­sumers are being over­charged. A lot of frus­trated read­ers have pri­vately e-mailed me with their own very strong over­charg­ing suspicions.

    For­tu­nately, the credit card over­charg­ing prob­lem can be fixed with sim­ple solu­tions that can be imple­mented imme­di­ately. Every day gram­mar school kids learn three basic lessons which if applied to bank credit card billing will instantly solve the prob­lem. The three lessons are…

    Show your work
    No free do overs
    What’s good for the goose is good for the gan­der. [read full story]

    Posted in: BANKS, economy, Federal Reserve, Finance, Politics, Public Policy, REGULATION, Regulatory Reform