Chillin' out till it needs to be funded
Seems the ‘boys’ at HuffPo got it yesterday and we finally got to see some hot 2011 JP Morgan research…great stuff..and we agree the senate and the house committee did a shoddy job but we may not agree with more after the first house bil set us off in an entirely diff direction thinking all reform had been appropriately tabled. Now we are just cocking a snook at 5 items of interest and consigning the rest to our mutual disgust of the readers and bankers’ understanding!!!
POINTS OF INTEREST IN THE WEEK AHEAD
Meanwhile, the economy is in recovery and is likely to accelerate this spring. This will translate into an improving job market, easing anxieties about the economic outlook.
zyakaira notes: some derivatives defence folows, telling it like it is..
It usually works out best if we understand the problem before we try to solve it …
From the perspective of economic literacy, last week’s hearings before the Senate’s Permanent
Subcommittee on Investigations had to be, well, not memorable, or inmemorable (as infamous is to
famous). The hearings exposed an unnerving ignorance of fundamental principles of market
economics by folks who have a hand in remapping rules of finance that will be with us for a while. Flip
assertions about what is and is not socially valuable reflect a confusion about our market economy that
is as fundamental as knowing that George Washington was the first president of the United States.
Maybe it’s human nature to get self righteous about the mistakes others make when there are even
worse problems in our own back yard that we should be tending to. Where are the hearings about the
shameful story in the figure below. We can’t blame this one on financial derivatives, sir. Michigan’s
problems began long before the first swap transaction was introduced in 1981.
Also JPM estimates for the US GDP for 2010 go up to 4.2% unemployment and inflation at 9.5% and .7%