New Economic Perspectives

The WSJ’s Hit Piece on Holder

Posted on June 1, 2012 by Mitch Green | 14 comments

I am a fierce critic of Attorney General Eric Holder. I have long called for his resignation, and continue to do so, for his failure to investigate and prosecute the elite frauds that drove our financial crisis. So, my response to the Wall Street Journal’s editorial denouncing “Holder’s Racial Incitement” is motivated solely by the fact that the WSJ editorial is so foul and tendentious about Holder’s comments, America, and the partisan effort to deprive American citizens of one their most precious rights – the right to vote – that it compels response. Continue reading →

14 Comments

Posted in William K. Black

William K. Black on “Career Limiting Gestures”

Posted on May 31, 2012 by Mitch Green | 3 comments

3 Comments

Posted in William K. Black

Tagged career limiting gestures, fraud, S & L crisis

Sinn Fein emerges as the only Honest and Economically Literate Irish Party

Posted on May 30, 2012 by Stephanie Kelton | 8 comments

By William K. Black

I was never one of the Irish-Americans who felt that Sinn Fein and the IRA were romantic groups. Yes, some of the songs of resistance are stirring, but there is nothing romantic about the IRA’s violence for many decades. Sinn Fein’s artful ambiguity about its support for peace v. the armed struggle caused me to distrust the Party’s leaders.

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8 Comments

Posted in William K. Black

Tagged austerity, ireland, Sinn

Another One Bites the Dust: The ECB Pours Cold Water on Bankia Bailout Solution

Posted on May 30, 2012 by Mitch Green | 5 comments

By Marshall Auerback

It might seem strange to invoke Freddie Mercury and Queen in the context of the eurozone, but it’s the first thought that springs to mind, as Brussels and the increasingly hapless ECB, continue to mismanage their way to financial and economic catastrophe. Yesterday, there were signs that the Spanish plan to recapitalise Bankia (which came with the implied backing of the ECB’s balance sheet) introduced a potential way out of the eurozone’s metastisizing banking crisis. Sadly, it’s another idea which will never get off the bulletin board, as the ECB bluntly rejected any proposal to use its balance sheet to indirectly fund Bankia, the troubled Spanish lender

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5 Comments

Posted in Marshall Auerback

Tagged Bankia, ECB, euro crisis, Eurozone

Career Limiting Gestures (CLG): Trying to Speak Truth to Congress

Posted on May 30, 2012 by Mitch Green | 12 comments

By William K. Black

At the large law firm where I began my professional career we were warned about making “career limiting gestures” (CLGs). I confess to being an expert in committing CLGs, such that I am unemployable in the federal government. Continue reading →

12 Comments

Posted in William K. Black

Toward Monetary Enlightenment: An Integral Approach to Macroeconomic Policy

Posted on May 29, 2012 by Dan Kervick | 54 comments

By Dan Kervick

One staple of economic policy debate is the running conflict between those who lean toward a reliance on fiscal policy and those who lean toward a reliance on monetary policy. Continue reading →

54 Comments

Posted in Dan Kervick, MMT, Modern Monetary Theory, Monetary policy

We Must Not Speak Uncomfortable Truths to Power: Why I Won’t be Briefing Congress about Derivatives

Posted on May 29, 2012 by Mitch Green | 21 comments

By William K. Black

When I was the Deputy Director of FSLIC, House Banking Committee Chairman St Germain was helping Speaker Wright hold the FSLIC recapitalization bill hostage to extort favors for Texas control frauds, including Don Dixon’s Vernon Savings (which was providing prostitutes to the State of Texas’ top S&L regulator and was building towards having 96% of its ADC loans in default – which is why we referred to it as “Vermin”). The attack on our agency was that we were mad dogs biased against Texas S&Ls and causing the Texas crisis by closing too many insolvent but well-run Texas S&Ls. Our response had many elements, but one of our principal points was that the Texas S&Ls we were closing were typically control frauds. At this juncture, St Germain’s staffers made a mistake. They requested that we testify on a host of issues, but the invite letter had a zinger, premised on an article saying that the Feds were slow to prosecute frauds in the Southwest. The invite specifically called for us to respond and discuss the role of fraud in the Southwest. We used the opportunity to explain the extensive role of fraud in Texas S&L failures.

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21 Comments

Posted in Uncategorized, William K. Black

Unjustified Fears over Sovereign Debt

Posted on May 29, 2012 by Mitch Green | 4 comments

By Nora Apter

Another great video by a student in Eric Tymgoine’s modern money course.

4 Comments

Posted in Eric Tymoigne

MMP Blog 50: MMT Without the JG? Conclusion

Posted on May 28, 2012 by Mitch Green | 131 comments

By L. Randall Wray

Sorry for the interruption of the blog. Originally I had planned 52 blogs, one-year’s-worth, although along the way I added a few so that we would have run about 13 months. Here’s why: the blogs came from a book manuscript, the Modern Money Primer. The idea was that you would not only be a test audience, but that your questions and comments would allow me to revise the manuscript as we went along. And that worked. I think the manuscript was much improved because of this blog. You helped write the book.

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131 Comments

Posted in L. Randall Wray, MMP

Tagged ELR, job guarantee, MMT, Modern Monetary Theory, modern money theory

Embedded Examiners always married the Natives, but now their Bosses Do Hook Ups

Posted on May 28, 2012 by Mitch Green | 5 comments

By William K. Black
(Cross-posted from Benzinga.com)

Jessica Silver-Greenberg and Ben Protess have written an extraordinarily important column for the New York Times about embedded examiners at JPMorgan.

Embedded examiners’ are federal regulators whose normal work station is a desk at the bank. We only embed examiners for systemically dangerous institutions (SDIs) – banks so large that they pose a systemic risk to global economy.

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