Daily Archive: Thursday, August 27, 2009


[Skip to the end] Waiting to see if Brown gets any credit for his fiscal policies which in fact are responsible for stopping the slide. As in the US, monetary policy has been contractionary with lower rates hurting demand from savers and borrowers gaining little or nothing, and lenders replenishing lost reserves. ...Read More


[Skip to the end] The FDIC gets the funds from the treasury as needed and then tries to tax the banks to pay it back. All that does is raise the marginal cost of credit via a transfer to the govt. Which reduces aggregate demand. Just one more example of a confused ...Read More