Central Bankers Learn to Love Inflation

Central Bankers Learn to Love Inflation

In a speech on Thursday night, Federal Reserve Chairman Ben Bernanke argued the central bank was not doing enough to meet the second of its two mandates–supporting the economy.

Whose Economy Has It Worst?

IAN BREMMER and NOURIEL ROUBINI

It's no wonder that global markets are so jittery. The world's three largest economies can't continue along their current paths, and everybody knows it. Investors watch nervously for signs that China is headed toward a hard landing, that America will sink back into recession, and that the euro zone will simply implode.

European economies: Europe's deepening crisis

European economies: Europe's deepening crisis |

Greece's Ills Hits Core Society

Health System Reflects Greece's Ills

A View: Why Breaking Up The Euro Could Be Catastrophic

Breaking up the euro: How it could happen; why it would be horrible

Bernanke seeks to reassure vets in weak economy

WASHINGTON (AP) -- Federal Reserve Chairman Ben Bernanke on Thursday tried to reassure U.S. soldiers, a group hit hard by high unemployment, that the Fed is working to strengthen the economy:

Selling Bonds for Love

Europe Tries Patriotism, Monthly Jackpots To Sell Bonds

Deficit Cuts Should Be Linked to Unemployment

Robert Reich (Trigger Happy: Why Deficit Cuts Should Be Triggered Only When Unemployment Drops to 5 Percent):

The Fed Urges For More Action

At Fed, louder calls for action on economy -

Economist's View: Paul Krugman: Legends of the Fail

Economist's View: Paul Krugman: Legends of the Fail:

The moral of the story:
Legends of the Fail, by Paul Krugman, Commentary, NY Times: ...Not long ago, European leaders were insisting that Greece could and should stay on the euro while paying its debts in full. Now, with Italy falling off a cliff, it’s hard to see how the euro can survive at all.

An Opinion: Prepare For Europe Collapse Before New Year

It’s official: The European Financial Stability Facility (EFSF) plan announced at the EU summit on October 27th is essentially dead prior to arrival.

As a consequence, Angela Merkel and Nicolas Sarkozy appear to be betraying signs of throwing in the towel on the Euro project as it exists today. They appear to be actively contemplating ways to engineer an orderly breakup of the Euro.

Iceland’s New Bank Disaster

Iceland’s New Bank Disaster

"The country is now suffering a second round of economic and financial distress stemming from the collapse of its banking system in October 2008. That crisis caused a huge loss of savings not only for domestic citizens but also for international creditors such as Deutsche Bank, Barclay’s and their institutional clients."

Portugal's Silva Says ECB Must Act More Aggressively

Yen Advances to Strongest Since Intervention on Europe Concerns

Yen Advances to Strongest Since Intervention on Europe Concerns -

The Best Bets For Today's Investment Landscape

The Best Bets For Today's Investment Landscape

BBC News - Today - 'No silver bullet' for eurozone

BBC News - Today - 'No silver bullet' for eurozone:

A Beautiful Chart On What Really Moves The Dollar

A Beautiful Chart On What Really Moves The Dollar: You know this has been the pattern day in and day out, but it's been the pattern for years now.

Eric Schoenberg: The Hypocritical Oath?

Wall Street Journal editor Stephen Moore recently called me a hypocrite because I am a rich American who favors higher taxes on the wealthy yet do not voluntarily pay more to the federal government than I legally owe....  

Rational Irrationality: Keynes vs. Hayek: Debate Diary

Rational Irrationality: Keynes vs. Hayek: Debate Diary : The New Yorker:

The euro crisis: Finito?

SILVIO BERLUSCONI'S promise to resign has done nothing to calm European bond markets. Italian bond yields are soaring today; both the two-year and the ten-year are above 7%. There are rumours that the ECB is in the market and buying heavily. If so, it's not having the desired effect. The ECB can't hope to keep yields reasonable through brute force. It will need to make an expectations-changing announcement. Will it? Italy's yields aren't the only ones rising. Markets are ditching Irish, Spanish, Belgian, and French debt too. The ten-year Treasury is back below 2%... READ MORE:

European Policy Makers Out of Their Depth

European Policy Makers Don't Understand, But Markets Do 
By Rebecca Wilder
So here we are: the Italian yield curve is flat at above 7%; the government institution is in question; and the ECB is using its SMP purchase program as a carrot to drive austerity implementation in and Berlusconi out. Some would argue that the ‘market is irrational’ – Italy faces a liquidity not solvency crisis. That’s the IMF’s line, and I don’t buy it... READ MORE

Is Spain Preparing Life Rafts?

Analysis: Spain recession more likely on new austerity

Spain's new government will unleash a wave of spending cuts and strengthen economic reforms in the first months of its legislature, moves that will throw the economy back into recession and send unemployment higher before making things better...|READ MORE:

EU Faces 'Deep, Prolonged Recession'

BRUSSELS—The European Union Thursday slashed its growth forecast for the 27-nation bloc in the coming year and said it can't exclude the possibility of a "deep, prolonged" recession.,, READ MORE:

Europe’s Next Nightmare

By Dani Rodrik -

As if the economic ramifications of a full-blown Greek default were not terrifying enough, the...READ MORE :

Europe is Stuck On Not So Merry-Go-Round

Europe's Struggle to Keep Growing

Europe is at risk of a potentially devastating negative feedback loop. The economy is "practically in free fall," says Yves Mersch, a member of the European Central Bank's governing council... Read More.

Possibilities of a Greece Exit from the Euro

A Greek Euro-Zone Exit Would Be Messy

The extraordinary events of the past week in Europe have included the shattering of a taboo that could have profound consequences for the Continent: the public discussion by European leaders that Greece could exit the common currency.

Why Will Europe's Crisis Impact US Markets?

Centurion Holdings CEO Joe Grano on why the debt crisis in Greece and Italy affect the U.S. markets and what is needed to boost the housing market.

News Video:

Will the Crisis in Italy Spur Euro Zone Break-up?

Political and economic crisis in Italy spurred fears of a split in the euro zone with borrowing costs for Europe's third biggest economy near unsustainable levels and the bloc unable to afford a bailout..READ MORE.

Is Italy About To Ask For A Bailout?

Is Italy About To Ask For A Bailout?

At some point, it just gets too expensive for a debt-laden country to borrow money buy issuing bonds on the bond markets. That's when they ask for some help from a higher power.

In recent weeks, Italy has seen its bond yields and spreads explode higher. This has markets wondering, "Does Italy need a bailout?"

5 Reasons 'Core Europe' Won't Work - Seeking Alpha

5 Reasons 'Core Europe' Won't Work

There have been rumors in recent days of a “core Euro”. This is the scenario in which we essentially break off into two Euros – a north and south Euro. But would this really fix the problems? No. Joe Weisenthal at Business Insider elaborates. He lists the 5 reasons why rumors of a “core Euro” won’t actually fix Europe