Daily Archives: November 27, 2012

More Austerity Advice From the Very Rich: Buffett On Deficits!

Posted on November 27, 2012 by Devin Smith | 41 comments

Warren Buffett’s recent op-ed in the New York Times is making a stir because it calls for a minimum tax on high incomes above $One million annually. But I was much more interested in some deficit targeting he proposes which exposes his ignorance about the sectoral financial balances model of macro-economics, and reveals him as a deficit hawk whose advice, if followed would be unsustainable and lead the United States into another deep recession. I’ll comment on a couple of paragraphs in Buffett’s op-ed. Continue reading →

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Posted in Joe Firestone

Tagged budget deficit target, debt-to-GDP ratio, fiscal cliff, Fiscal Policy, Fiscal Responsibility, Fiscal Sustainability, MMT, Modern Monetary Theory, sectoral financial balances, Warren Buffett

Let’s Defend Social Security and Other Entitlements With the Second Bill Of Rights

Posted on November 27, 2012 by Devin Smith | 4 comments

By Joe Firestone

The favorite defense of Social Security by progressives harkens back to Franklin Roosevelt who famously said:

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4 Comments

Posted in Joe Firestone

Tagged entitlements, FDR, fiscal cliff, Fiscal Responsibility, Fiscal Sustainability, medicare, MMT, Modern Monetary Theory, second bill of rights, Social Security

The Bank of Canada Governor is Wrong on Too Big To Fail and Wrong on Canada’s Banking System

Posted on November 27, 2012 by Devin Smith | 5 comments

By Marshall Auerback

As a Canadian, perhaps I should feel a surge of patriotic pride now that Mark Carney has been designated the new head of the Bank of England – quite a step up for the current governor of the Bank of Canada. There is no question that Mr. Carney is a market-savvy guy (he did, after all, work for the vampire squid), and his experiences as Chairman on the Financial Stability Board (FSB) suggests that he is sensitive to the ongoing systemic risks present in our increasingly complex global banking system.

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