Conservative Economics

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Subject: Constitutional Law

A kind of behavioral standard.

Constitutional law is a body of law dealing with the distribution and exercise of government power.

Not all nation states have codified constitutions, though all such states have a jus commune, or law of the land, that may consist of a variety of imperative and consensual rules. These may include customary law, conventions, statutory law, judge-made law or international rules and norms, etc. [Wikipedia]

This is a 'game-changer'

Economic recovery may wait until 2016

Economic systems and institutions tend to gradually corrode and become increasingly inefficient and unstable

The current economic crisis, which started with the market crash of 2008, is a ‘game-changer’ that requires effective leadership with a firm grasp of economic reality and a willingness to introduce sensible bipartisan reforms in many areas of financial markets.

Unfortunately, these conditions are unlikely to be met before 2016. In the meantime, history suggests that there are likely to be many false rallies and dashed hopes before true recovery begins.

US politics

Obamacare: Loopholes and enforcement

If you boil a frog very slowly, he may not jump out in time to save himself.

Poorly written law can sometimes be successful when the vast majority of people agree with the intent and there is bipartisan support to correct errors.

This is not the case with the Patient Protection and Affordable Care Act of 2010.

However, the most astounding thing about Obamacare is that the individual mandate is basically a misnomer — there are no penalties on individuals for not buying health insurance. Or are there? ECRV2Y9MMZ86

US tax policy

Why are the Super-Rich often liberals?

Colonial dining in British India, 1895.  See here, boy! Give another pull on that punkah

If we are to believe the old adage that, ‘people vote their pocketbooks’, why are so many of the Super-Rich ardent supporters of the Democratic Party?

Why do the liberal Super-Rich seem to act in a way that is so contrary to their selfish interests and economic well-being?

Here I show how capital flow analysis of the Federal Reserve flow of funds accounts provides an answer to this apparent conundrum.

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Featured articles on inside pages

Stock buybacks

WSJ exposes the 9/11 caper

In a major exposé of misused executive options, the Wall Street Journal ran a front page article, reporting that as stocks sank after the the 9/11 attacks, scores of companies rushed to issue options to top officials. Some executives reaped millions.
More ...

Securities Analysis

Intrinsic value

The target of classical security analysis is 'intrinsic value', a fuzzy concept defined as the value justified by the facts. Now, there may be too many 'facts' while prices exceed 'intrinsic value'. More ...

US Politics

Why are the Super-Rich often liberals?

If we are to believe the old adage that, 'people vote their pocketbooks', why are so many of the Super-Rich ardent supporters of the Democratic Party? Why do the liberal Super-Rich seem to act in a way that is so contrary to their selfish interests and economic well-being? Here I show how capital flow analysis of the Federal Reserve flow of funds accounts provides an answer to this apparent conundrum. More ...

US equities

Stock values and cash dividends wither

Wall Street ballyhoo and flim-flam to the contrary, the year 2005 closed-out half a decade of misery and pain for the average investor in US equities. Average cash dividend yields never surpassed 3.8% during the period, and most of this was consumed by taxes and management expenses of the open-end mutual funds. More ...

US Bonds

The collapse of the dollar and US bonds?

The extreme spending of the Obama government, combined with irresponsible bank lending policies promoted by Barney Frank and Chris Dodd, portend rising interest rates, the collapse of the bond market, and the end of dollar supremacy. More ...

World Economy

Signs of US losing its groove?

Thirty years ago, US income from abroad was more than double the amount of income that the US paid to the rest of the world. This year, or the next, this foreign income surplus may disappear forever. Is the US 'losing its groove'? More ...

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2010-08-13 13:04