The Mendacity of Hyper-Meritocracy
The 'Hyper-meritocracy' - an Oxymoron Led by Criminal Morons
by William K. Black, New Economic Perspectives
This article was prompted by William Galston's review of Tyler Cowen's new book Average is Over.
Galston's column worries about the huge, permanent underclass that
Cowen envisions will grow in the United States. I write to challenge
Cowen's assumption that winners will prevail through a process of
'hyper-meritocracy.'
What We Read Today 06 October 2013
Econintersect: Click Read more >> below graphic to see today's list.
The top of today's reading list is an article by GEI contributor Roger Erickson on his blog at Mike Norman Economics
about the (negative) changes in education and child-rearing over the
last 40 years ........ and the last article suggests that the major
part of deleveraging is over for Americans and the economy is ready for a
rebound.
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Main Stream News Beaten To A Bloody Pulp
While
a deluge of actual real events takes place that affect millions of
people's lives. CNN and MSNBC are duking it out over what really matters
to them ratings. Both outlets insisted they had beaten the other in
ratings.
The Week Ahead: Can the Market See Past the Government Logjam?
by Jeff Miller, A Dash of Insight
Is it premature to think ahead, to a time
after the budget and debt logjam is broken? Markets are celebrated for
anticipatory power. There are already some signs this is happening. We
would all enjoy relief from the parade of politicians and pundits -and
especially the annoying and unhelpful countdown clock.
No Joie de Vivre, Please: We're French
Written by Hilary Barnes
L'art de vivre is a French
cultural construction of which they are inordinately proud. A superb
cuisine is one of the most important ingredients, and what is all the
wonderful food worth unless accompanied by a good wine, carefully chosen
to match each dish. And woe betide any host who serves a red wine with
the fish!
Persistent Shutdown Will Increase Initial Claims
Initial Claims of Disaster To Be Taken With A Grain of Salt
by Lee Adler, Wall Street Examiner
First time unemployment claims continued their strength in late
September but that should change radically in the weeks ahead as the
effects of the chaos in Washington (
pictured, click to enlarge)
begin to ripple through the economy. In the short run the data will
weaken, but more important will be what happens after the government
reaches a deal on the budget and the debt ceiling.
Read more >>
Debit Card Interchange Fee Regulation
by Tim Sablik and Zhu Wang - Economic Brief, Federal Reserve Bank of Richmond
Merchants pay interchange fees to card
issuers when they accept credit or debit cards as payment. Many
merchants have complained that the fees far exceed issuers' costs for
processing such transactions. In response to those complaints, Congress
directed the Federal Reserve to impose a cap on debit card interchange
fees. The cap lowered interchange fees for most merchants, but it
yielded some unintended consequences. An analysis of the payment-card
market suggests several factors to consider, in addition to issuer
costs, when setting interchange fees to maximize social welfare.
Detroit's bankruptcy: The uncharted waters of Chapter 9
by Gene Amromin,and Ben Chabot - Chicago Fed Letter, Federal Reserve Bank of Chicago
On July 18, 2013, Detroit became the
largest municipality to seek protection under Chapter 9 of the U.S.
Bankruptcy Code. This article describes several ways in which Detroit's
bankruptcy filing has the potential to alter some of the key assumptions
of municipal bond (muni) finance, and examines the market reaction to
date.
World Economic Outlook - Transitions and Tensions - October 2013
from the International Monetary Fund
The first chapter explores how output
co-movements have evolved in recent years and how they are influenced by
various shocks and linkages. It assesses the possible output spillovers
from those shocks that most concern policymakers, including policy
shocks, such as unexpected monetary or fiscal tightening; financial
shocks, such as a systemic banking crisis or renewed financial turmoil;
and growth surprises (which could be driven by either real or financial
shocks) in advanced economies or in large emerging markets.
Federal Reserve Tools for Managing Rates and Reserves
by Antoine Martin, James McAndrews, Ali Palida, and David Skeie - Staff Reports, Federal Reserve Bank of New York
Monetary policy measures taken by the
Federal Reserve as a response to the 2007-09 financial crisis and
subsequent economic conditions led to a large increase in the level of
outstanding reserves. The Federal Open Market Committee (FOMC) has a
range of tools to control short-term market rates in this situation. We
study several of these tools, namely, interest on excess reserves
(IOER), reverse repurchase agreements (RRPs), and the term deposit
facility (TDF).
Infographic of the Day: Final Congressional Votes
This
infographic shows the tally of the final Congressional votes on major
social legislation in regards to the Civil Rights Act, Medicare, welfare
and healthcare reform. It divides it by political parties.
Documentary of the Week: Depleted Uranium and Sick Soldiers
Invisible War - Depleted Uranium and the politics of radiation
Econintersect: This week we
present a one hour and five minute film by Martin Messonier, produced by
Roger Trilling, entitled "Invisible War - Depleted Uranium and the
politics of radiation". One of the possible causes of the mysterious
Gulf War Syndrome is denied as complicit by many in the Pentagon. This
short war has produced 135,000 disabled veterans but only 33 are being
monitored for radiation poisoning and uranium toxicity.
Two Thirds of Working-Age Europeans Know a Foreign Language
by Felix Richter, Statista.com
According to Eurostat, two thirds of
working age adults in the EU28 stated that they knew at least one
foreign language in 2011. 83 percent of pupils at primary and lower
secondary level and 94 percent of those in upper secondary level general
programmes were studying English.
