Can rules prevent money printing?

Two ways to increase money Today’s fiat dollar is created by two methods. One, the central bank (The Fed) creates new money when it purchases an asset. This money is credited to someone’s bank account, a liability on some bank’s books, and is matched on the bank’s asset side by new reserves held at the […]

Biggest debtor nations: some astonishing figures for you

I came upon this list of the biggest debtor nations in the world the other day.The key figure to look at in the list is the % size of external debt in relation to the country’s GDP. The list proves quite extraordinary. First off, here it is (sorry bit of a chore, but scan through […]

Euro crisis: Germany’s golden opportunity

The euro debt crisis in Europe presents Germany with a golden opportunity: the cause of the Euro debt crisis is the misconstruction of the euro that allows all EMU members to print Euros and force them upon other members.  As a result, Germany is on the verge of seeing its capital base plundered.   Why? […]

The Banking crisis: You’re doing it wrong!

Its a wonderful thing, hindsight. 4 years on and the effects of the response to the 2008 banking crisis are now visible. National governments responded in two key ways to the crisis. This is what we have now learnt.  The “popular” response The US, UK, Ireland et al responded to the crisis by means of […]

Time to abolish corporate tax

Corporations should not pay tax. This may seem counter-intuitive, but is a very sensible policy. Corporate tax is inefficient, unjust, regressive and damaging to the economy. The principal reasons advocated for taxing corporations make no sense. The first argument raised in favor of taxing corporations is one of justice. Surely corporations should be asked to […]

Austerity Doesn’t Work. Except When It Does

In the wake of the French elections, and as Greece continues to go off the rails, there is a broad call in Europe for increased spending and for running deficits versus getting economic houses in order.

About the One Tax

The One Tax is a system that would replace the entire federal tax code with one flat tax.Every private citizen would pay a 21% tax on all money earned in the United States above $15,000.

The Blunt Instrument of Caution

Let us imagine that this columnist has invented a remarkable device: a speed limiter for cars which deducts 10 mph from the speed at which you wish to drive. Obviously, it is no use if it merely deducts speed from your aim, or you would aim for 40 mph with the intention of achieving 30mph. […]

The Dick Durbin Bank Fees

– Bank branches close while banking becomes more expensive and less consumer-friendly. This Saturday, government price controls on debit card interchange fees (which card issuers charge to merchants) go into effect. The controls are the result of the Durbin amendment to last year’s Dodd-Frank financial reform legislation. They were enacted at the behest of big-box retailers […]

Pope and the Tobin Tax

The Pope favors a Tobin Tax. The Tobin Tax is a charge on foreign exchange transactions and the Pope is the head of a small city state and a large voluntary organization, both in Rome. The opinions of Duncan L. Niederauer, CEO of the New York Stock Exchange, on Transubstantiation are unknown. The Tobin Tax […]