Lynne Kiesling Today’s global stock market correction is a humdinger, and is almost certainly the result of multiple factors — expectations of minimal impact of debt ceiling deal, tepid domestic and international manufacturing data, tepid domestic unemployment data, expectations of tepid employment data tomorrow, and what’s really the 800-pound gorilla here, the eurozone debt and … More Blaming Obama for Global Equities Drops? Really?
Michael Giberson Simon Johnson reviews and provides a summary of a paper by Daron Acemoglu on the current financial crisis. Johnson summarizes one of Acemoglu’s points as follows: The seeds of the crisis were sown in the Great Moderation (the low inflation, relatively stable last 20 years or so). Everyone who patted themselves or others … More What Model for the Financial System Breakdown? Falling Dominoes? Cascading Outages?