Monthly Archive:: August 2010

Mosler proposal for the housing agencies

Have the Fed Financing Bank fund the agencies with fixed rate amortizing term funding. Have the FFB eat the convexity and allow prepayments of advances at par as mtgs pay down. Have Congress set the FFB’s advance rate for the mtgs for public purpose. Have fed member banks originate agency mtgs on ...Read More

Press Release

MOSLER FOR SENATE Tea Party’s Economic Agenda Would Cause Next Great Depression Says Former Tea Party Democrat Waterbury, CT – August 30, 2010, Warren Mosler, Independent candidate for US Senate, former Tea Party Democrat, and frequent speaker at Tea Party rallies, lashed out today at the political movement for its ill-thought demands ...Read More

MMT and Fed/Treasury operations

Excellent- an instant classic! Modern Monetary Theory—A Primer on the Operational Realities of the Monetary System By Scott Fulwiller ...Read More

Bernanke speech

Karim writes: Very substantive speech from Bernanke Message is basically, ‘growth has slowed more than we expected’ BUT ‘conditions are ALREADY in place for a pick-up’ and if we are wrong, we are ready to take action, which contrary to some perceptions, will be effective Yes, contrary to my opinion. This about ...Read More

NPR explains where govt spending comes from

How To Spend $1.25 Trillion By David Kestenbaum and Chana Joffe-Walt Aug 26 (NPR) — In the face of the financial crisis, the Federal Reserve decided to buy $1.25 trillion of mortgage-backed bonds as part of its effort to prop up the economy. It was a huge departure from ordinary policy — ...Read More

U.K. Economy Grows Most Since 2001 on Construction

Right, how can it not with a 12% type deficit? U.K. Economy Grows Most Since 2001 on Construction By Scott Hamilton Aug. 27 (Bloomberg) — The U.K. economy expanded faster than previously estimated in the second quarter in the biggest growth spurt since 2001 as companies rebuilt stocks and construction work surged. ...Read More

S&P Says US Should Act to Protect AAA-Rating: Report

David, Please do the world a favor and spill the beans. Please make it clear to the news media ability to pay is not in question, no matter how large the numbers may get. The US, as issuer of its currency, is not the next Greece, Ireland, or California. Please tell them ...Read More

Audit the Fed!!!

The Fed should offer full transparency. These are the reasons the Fed gives for secrecy: “The Fed argued that allowing disclosure could stigmatize banks, causing a loss of confidence that could lead to deposit runs, bank failures and damage to the economy.” The fact that the Fed fears a liquidity crisis is ...Read More

Europe Loan Growth Accelerates as Economy Recovers

Europe Loan Growth Accelerates as Economy Recovers By Christian Vits Aug. 26 (Bloomberg) — Loans to households and companies in Europe grew at the fastest pace in 13 months in July after the economic recovery gathered steam. Loans to the private sector rose 0.9 percent from a year earlier after growing an ...Read More

New Home Sales…

Looks to me like maybe the payback has run its course. I’d look for a rebound through the orange line I drew. The only problem is there aren’t a lot of actual houses for sale. So a pick up in housing starts can’t be far off either as they are very low ...Read More