dan ryan

Here is the text.  I am not sure that this is going anywhere. Another case on not taking action and hoping that things will work out in the end.  Why?

Is this another case of better than expected or the reality check that we are not growing.  The CBO estimated the the stimulus accounted for virtually all of this small growth.  More latter...

The idea that economics isn't rocket science   can be debated but if you are going to debate it then bring some actual evidence that support the claims.  How would increasing the money supply as stated decrease housing prices and activity?  I guess if come from the brain dead land of the University of Chicago and the Minneapolis Fed  who now argue that increase in money supply causes deflation.  This is plain crazy and the opposite of what is insinuated.  It just seems to be another case of that of  not letting the facts get in the my of my opinion (or ideology)

"Americans can always be counted on to do the right thing...after they have exhausted all other possibilities." -- Winston Churchill

As Brad Delong put it: "If the past decade has taught me anything, it has taught me that mistakes are avoided if you follow two rules: 1. Remember that Paul Krugman is right. 2. If your analysis leads you to conclude that Paul Krugman is wrong, refer to rule #1." Now, of course, Paul Krugman is not always right but his predictions and modeling have been incredible to say the least.  As we head back into malaise or recession or stagnation or whatever you call slow to no growth with long-term high levels of unemployment,  as noted this post . As the second half slowdown roots itself, we all will continue to see if this continues to be true.  

Why do I expect the unemployment rate to increase? A post from Calculated Risk that seems more and more like a fa de complet. In another note, It appears that Q2 GDP estimates has fallen from 2.4% (okay but not what we need) to somewhere between 1.1 and 1.5, which is not recession but pretty darn close.

There is some significant evidence  that we have not hit bottom in housing prices.

Federal Spending Target of 21 Percent of GDP Not Appropriate Benchmark for Deficit-Reduction Efforts — Center on Budget and Policy Priorities

This is from Paul Krugman and yet another example of things are 'great' because they are not as bad as it was or that others are.  If we play the comparison Game as noted above, it looks like US policy has been better than Germany. Who knew?

2010 Stride & Ride: Kristen Ryan

2010 Stride & Ride: Kristen Ryan

http://www.nytimes.com/2010/08/24/opinion/24tue1.html?src=un&feedurl=http://json8.nytimes.com/pages/opinion/index.jsonp http://www.nytimes.com/2010/08/23/opinion/23krugman.html?partner=rssnyt&emc=rss http://www.minnpost.com/ericblack/2010/08/09/20353/tim_pawlenty_keep_the_tax_cuts_but_pay_for_them_then_cut_more_taxes

There is also a $37 billion auction of two-year notes Tuesday, at 1 p.m. Treasury prices  rose Monday, and a $7 billion sale of 40-year Treasury Inflation Protected Securities was well bid. At the end of the day, the 10-year note was yielding 2.607 percent. As you can see there is so much demand for Treasuries.  Have we concluded that we cannot invest for better than 2.6% over ten years?

Lawler: Existing Home Sales: “Consensus” vs. Likely So a few minutes before the release... Let's see what happens. I am hoping against hope that it isn't as bad as it seems.