Subjects Archives: Financialization

  Table 14 summarizes the main technical characteristics of the debt restructurings studied in this paper: the size of the exchange, the participation rate, the numbers of instruments tendered and new instruments issued, the options available to investors, etc.  Table 15 contains the main results, both in terms of the level and dispersion of NPV […]

  . . . The travails of the lands of Ire and Ice are not so much at odds with each other and come down essentially to the same point — the size of banking assets to that of the general economy; but they do differ considerably in how the two economies approached the battle. […]

  So there are no technological fixes [to the environmental problem caused by increasing consumption] in sight? I’ve gone on from the basic footprint concept to demonstrate a couple of other interesting spin-offs.  The assumption seems to be, in the mainstream, that improved technology, improved material and energy efficiency will help to solve this problem. […]

If the G-20 is going to be nothing more than a talking shop on economic issues, they ought to at least talk about the economic problems that really matter, and the ones that they can do something about.  Not that currency values don’t matter — they are actually very important.  And it is interesting to […]

November 10, 2010 Senator Alan Simpson and Erskine Bowles appeared to have largely ignored economic reality in developing the proposals they presented to the public today. The country is suffering from 9.6 percent unemployment with more than 25 million people unemployed, underemployed, or who have given up looking for work altogether.  Tens of millions of […]

It is now abundantly clear that each and every response by the eurozone (EZ) to the galloping sovereign debt crisis has been consistently underwhelming.  This includes the joint EZ-IMF operation, back in May, to “rescue” Greece and, in short order, the quite remarkable overnight formation of a so-called “special vehicle” (officially the European Financial Stability […]

Social Security has made it possible for the vast majority of workers to enjoy a period of retirement in at least modest comfort without relying on their children for support.  The average length of retirement has increased consistently since the program was started in 1937.  However, the increase in the normal retirement age from 65 […]

In a recent article, I discussed the 2010 Economics Nobel Prize in rather unflattering terms.  However, nothing beats the decision to award the 1997 Economics Nobel to Robert Merton and Myron Scholes for developing “a pioneering formula for the valuation of stock options.”  “Their methodology,” trumpeted the Nobel committee, “has paved the way for economic […]

Here comes the travail of crisis.  The more they talk about coordination, the more it becomes necessary to concentrate on the conflicts revealed by the very talk of coordination.  The G20 finance ministers’ meeting, held in South Korea on Friday, has already been mortgaged by the case opened by US Treasury Secretary Timothy Geithner regarding […]

The slanging match over currency and monetary policies at the annual Fund-Bank meetings, held over the second weekend of October, points to the disarray in global economic governance.  While the US sought to mobilise IMF support for an effort to realign exchange rates and ensure an appreciation of the renminbi in the wake of China’s […]

When the Crash of 2008 hit Wall Street, European capitalism was thrown into disarray.  With the demise of the export-absorbing monster that was the US consumer market, what in 2003 Joseph Halevi and I called “The Global Minotaur” (see Monthly Review, Vol. 55), Europe not only lost a critical source of aggregate demand but also […]

  The free trade push has begun again.  Both U.S. President Barack Obama and South Korean President Lee Myung-bak are calling for ratification of the U.S.-Korea Free Trade Agreement, which was signed by the two countries’ trade representatives in April 2007 but has yet to be approved by either the U.S. Congress or the South […]

Paper prepared for the American Sociological Association Meetings in Atlanta, August 16th, 2010. There are many explanations for the crisis of capital that began in 2007.  But the one thing missing is an understanding of “systemic risks.”  I was alerted to this when Her Majesty the Queen visited the London School of Economics and asked […]

Nationalization and Workers’ Control: Achievements and Limitations The economic, social and political situation in Venezuela has changed a lot since the failure of the constitutional reform in December 2007, which acted as a warning to the Chávez government.1  This failure had the effect however of reviving the debate on the need to have a socialist […]

Today the Census Bureau released a report on trends in income, including median income, income inequality and income poverty, and health insurance coverage between 2008 and 2009.  As expected given the increase in unemployment — which grew from 7.4 percent in December 2008 to 10 percent in December 2009 — the report shows a substantial […]

The basic issue is the same there and here.  Capitalism generates another of its regular, periodic crises, only this one is really bad.  It begins, as often happens, in the financial sector where credit invites the competition-driven speculation, the excess risk-taking, and the corruption that explodes first.  But precisely because the non-financial rest of the […]

Part 1: The German Space of Accumulation The present state of affairs in the Eurozone and in the EU reflects the partition of the European Union into three groups. The first is a group of neomercantilist countries centred on Germany and formed by Holland, Belgium, Austria and Scandinavia.  Their neomercantilism can be defined as a […]

  Phillip J. Cooper.  The War against Regulation: From Jimmy Carter to George W. Bush.  Studies in Government and Public Policy Series.  Lawrence: University Press of Kansas, 2009.  288 pp. $34.95 (cloth), ISBN 978-0-7006-1681-7. Phillip J. Cooper is an accomplished scholar of the executive branch of the U.S. government and its interaction with the courts. […]

DIE LINKE (the Left Party) has initiated a debate on its draft party program, which it wishes to officially adopt in Autumn 2011.  Neues Deutschland is joining this debate with a series of articles.  In the Neues Deutschland article published on 9 August 2010, Michael Heinrich tackles the issue of the relationship between capital and […]

  Highlights: 2010: Palestinian economy far from recovery The Palestinian economy held back by: The enduring cost of Israeli military operation in Gaza The closure policy in the West Bank The siege of Gaza A weakened tradable goods sector and an eroded productive base are at the heart of the Palestinian development bottleneck. Rehabilitation of […]