GFC 2008: cock-up not conspiracy

A new study by the US National Bureau of Economic Research has found that the reason for the high default in mortgages prior to the 2008 financial crisis was not, after all because of loans to sub-prime lenders. It builds on the conclusions of the Massachusetts Institute of Technology who have long maintained that sub-prime… Read more

Science and technology are the greatest agents of collective human progress.

Surely, only a politician could think that: “A free-market economy, operating under the right rules and regulations, is the greatest agent of collective human progress ever created.” Or maybe a politician and an economist. For everyone else, a much stronger case can be made for mathematics and written language, or science and medicine, or the ability… Read more

Anyone for “unfunded borrowing”?

In yesterday’s speech the Prime Minister refers to “unfunded borrowing”. It’s here  (To spare you having to endure the full half hour it is mentioned at about 23.58 in.) It’s not a stumble, it is clearly spoken, yet it is prima facie nonsense. Borrowing isn’t going to get to be borrowing if it is unfunded…. Read more

Moody Fantasy

The attention given by the Mainstream Media to the downgrading of British debt by Moody’s to slightly less than triple A only goes to prove how ill they serve us. It might be more interesting if it were Cornwall that had been downgraded, which is one of the few UK counties to have a credit… Read more

Poisonous tendencies

Cross-posted on  Brave New Europe. Anyone that has tried to balance a seesaw – not touching the ground – knows about equilibrium. We know how to adjust our position to correct any movement away from perfect balance. The seesaw fluctuates and we cannot relax, but if we react correctly it never moves far from the… Read more