Category Archives: Weekly Financial News

Productivity Soaring–Where Are the Jobs?

Financial FAQs In spite of Mideast unrest (when was it restful?), and the massive snow job hitting most of the U.S. (the biggest storm of the century?) the output of goods and services continues to improve. Businesses through the fourth … Continue reading

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How Do We Boost Economic Growth?

Popular Economics Weekly There is a tremendous misunderstanding of how to boost economic growth, and this is hurting the recovery. Conservative politicians want to cut taxes and government services, while progressives want to use government to boost growth. Yet it … Continue reading

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Which Deficit is Most Important?

Popular Economics Weekly All the talk of budget deficits really focuses on the wrong deficit. It is the output deficit of goods and services lost because of the Great Recession that is most important, not the state and federal budget … Continue reading

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Is The Great Stimulus Debate Over?

Financial FAQs The stimulus debate over what form government aid should take to the recovery is only over for the moment. The headlines tell us both the rich and poorer among us will receive various tax breaks under the Democratic-Republican … Continue reading

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Why Such a Mortgage Mess?

The Mortgage Corner What is causing the mortgage ‘mess’ to continue, in this case the controversy over ownership of mortgages that is embroiling Wall St. and Washington? Much of it is exaggerated by the media and attorneys for the plaintiffs … Continue reading

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The Fed Has Two Mandates—Growth + Price Stability

Financial FAQs Why has there been so much debate over the Fed’s monetary policy of so-called Quantitative Easing? The simplest answer is that it pits those countries and ideologies that see the world as a zero-sum game—the I Win, You … Continue reading

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QE2 Will Stimulate Economic Growth

Popular Economics Weekly In a bid to stimulate banks to lend more by increasing their reserves, the Federal Reserve announced QE2 (Quantitative Easing 2). It will be buying up to $600 billion in Treasury securities from banks who hold them. … Continue reading

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Rock Bottom Mortgage Rates Increase Sales

Financial FAQs It seems that the lowest mortgage rates since the 1950s are making a difference. New-home sales rose 6 percent and existing-home sales increased 10 percent in September, “affirming that a sales recovery has begun”, said the National Association … Continue reading

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Zero Inflation Won’t Help Economy Grow

Financial FAQs Fed Chairman Ben Bernanke in his most recent speech said that more Quantitative Easing may be necessary, in order to comply with the Fed’s longer-run sustainable rate of unemployment and the mandate-consistent inflation rate. The longer-run sustainable rate … Continue reading

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When Will Hiring Improve?

Financial FAQs All eyes are focused on the jobs market as September’s unemployment report showed progress in private hiring, but a loss of 50,000 education jobs, as states and local governments sliced more than 159,000 jobs off their payrolls. When … Continue reading

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