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  • Money Supply Explosion: It Doesn't Matter [View article]
    Without doing the math, we know that GDP is stagnating and it must follow that the spending multiplier must be contracting while the money supply expands which is not uncommon during a balance sheet recession.
    Aug 16 08:54 AM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Obama vetoes foreclosure bill. In the first effective veto of his presidency, Obama blocked a bill that would have required state and federal courts to accept the validity of out-of-state document notarizations; the bill would have made it harder to challenge the authenticity of foreclosures and other legal documents.
    ______________________...

    I have mixed feelings about this whole mess but the Community Organizer in Chief's veto of this foreclosure bill was entirely too predictable. Whatever the shortcomings in title transfers, we know money is owed and the people living in the house owe it.
    Oct 8 09:07 AM | 14 Likes Like |Link to Comment
  • Wall Street's New Math [View article]
    I think Schiller's application of P/E ratios makes the most sense as he uses average earnings over the past ten years.

    P/E ratios are just another tool in the kit a and do tend to be mean reverting.

    The problem with them is that the P/E multiplier or ratio is highly sensitive to inflation, interest rates and expectations.

    Mar 2 05:53 AM | Likes Like |Link to Comment
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