Look for lighter volume courtesy of Rosh Hashanah holiday. (And happy new year to you). Enjoy our Monday morning train temple reads:
• FOMC Preview and Review of Projections (Calculated Risk) see also Which Fed Leaders Fear Inflation? Look at When They Grew Up (NYT)
• Wild Trading Exposed Flaws in ETFs (WSJ) Managers of exchange-traded funds seek to find causes of August 24 disruptions
• Another Thing That Worked in the Past That Won’t In the Future (Investor Field Guide)
• How Wall Street’s Bankers Stayed Out of Jail: The probes into bank fraud leading up to the financial industry’s crash have been quietly closed. Is this justice? (The Atlantic)
• Big Data Analysis Reveals October is Best Month to Buy a Home in U.S. (World Property Journal)
• 25 disruptive healthcare companies to watch (Becker’s Hospital Review)
• What I Learned This Week About Tim Cook’s Apple (Re/Code)
• Secrets of longevity may lie in long-lived smokers, a ‘biologically distinct’ group with extraordinary gene variants (Washington Post)
• 4 reasons why ‘Key & Peele’ is one of the all-time great sketch shows (Daily Dot)
• Djokovic And Federer Are Vying To Be The Greatest Of All Time (fivethirtyeight)
What are you reading?
Pressure Builds on Developing Nations
Source: WSJ
What we have seen over the past forty years is essentially one policy experiment after another where outcomes were significantly less than promising and certainly less than promised.
Fall 2015 Brookings Panel on Economic Activity Weblogging: Gaming the Student Loan System
…this decision to shift from grant- to loan-financing of attendance at public universities has probably not been a net plus for non-college workers, has kept a substantial number who really ought to be going to college from doing so …and has landed us with a large for-profit university-driven student loan problem.
…there are some places where we really do not want hard market profit-and-loss incentives operating without sociological checks. In addition to prisons, pensions, health insurance, research and development, and other information goods …add higher education.
GOP vilifies student loan, and their “free market” “universities” are the problem.
Typical Republican nonsense.
well that was the plan. states didnt want to fund colleges any more, and those in Congress didnt want to either. so they pushed for and got the student loan scam running. and as a side benefit, they could also reduce the number of educated citizens. which for some of them may have been the entire reason to do the exercise to begin with.
A more important question to ask instead of “Should I have my child vaccinated?” (This actually shouldn’t be a question).
http://www.marketwatch.com/story/the-potentially-deadly-question-most-parents-dont-ask-2015-09-14
oddly enough there was a time when countries stopped vaccinations. the results werent pretty
http://www.cdc.gov/vaccines/vac-gen/whatifstop.htm
the diseases came roaring back
i suppose the real question is, if you dont vaccinate your child, how lucky are you? and can you afford to pay for the health care costs that will happen, and can you explain to some one else why their child died because you chose to not do so
Jon Chait wrote an optimistic take on climate change. Is it justified?
http://www.vox.com/2015/9/13/9313727/chait-climate-optimism
I am baffled as to why people are baffled with what happed to some ETFs on Aug 24. ETF’s are supposed to trade like stocks instead of open-ended mutual funds. That is a primary reason why they were innovated in the first place. Their close cousins, CEFs, have been around for a long time and rarely trade at their NAV. Why would anybody expect ETFs to? I think the most astonishing thing about ETFs to date has been how close to the NAV they usually trade. Anybody who is baffled must believe that the stock market is efficient and rational at every minute of every day. I think there have been enough episodes, including both humans and machines, to know that is not the case.
i doubt industry is all that interested in safety, its more likely they want to get some one else to pay to fix the problems they cause, and not have to pay them selves
http://www.wsj.com/articles/how-to-transport-oil-more-safely-1442197722
I assume that is why Superfund, RCRA, Clean Water, and Clean Air Acts all had to be passed. For a mysterious reason, industry turned out not to be self-regulating to protect the common good.
Donald Trump says high CEO pay is a ‘complete joke’
http://www.marketwatch.com/story/donald-trump-says-high-ceo-pay-is-a-complete-joke-2015-09-14
So.policy recommendations? Let the free market take care of it? Keeping out immigrants will fix it? The Donald will intimidate compensation committees and their high-priced consultants into rampant pay cuts?
Che Brady
http://oi62.tinypic.com/swxz5z.jpg
do we need repos?
http://www.nakedcapitalism.com/2015/09/perry-mehrling-what-does-repo-do-and-can-we-do-without-it.html
our fragile constitution?
http://www.theatlantic.com/magazine/archive/2015/10/our-fragile-constitution/403237/
How likely is your job to be automated in the next 20 years (there’s an app for that):
http://www.bbc.com/news/technology-34066941
They didn’t list pundit, so I think our host is safe. Financial account manager was No. 4 on the list, way ahead of cabby.
Better nip this one in the bud, before it snowballs out of control
http://www.bbc.com/news/technology-34118482
Re the Key and Peele writeup:
“… they were never laughing at the marginalized—although they come close in their college football sketches, making fun of names like D’Marcus Williums, D’Squarius Green, Jr., and Ibrahim Moizoos…”
The idea that college football players are not deserving ridicule because they are anywhere close to being marginalized is ridiculous. In the made-up game(s) in question, a college all-star game, those players are going to be drafted into the NFL! The rest of them them are pampered partiers getting a free education at a time of trillion dollar in debts.
Don’t make fun of the jocks? Are you kidding? Prancing preening clowns of machismo? Are you kidding?
Memo to New York Times. ALBERT Edwards has been wrong for a decade straight. Why would anybody listen to the politically motivated stooge?
“..“The Fed is supposed to remove the punch bowl just as the party gets going,” said Albert Edwards, a strategist with Société Générale, in an email exchange. “It is already well past midnight, but the guests will keep partying until they drop if you ply them with even more alcohol.”
http://ritholtz.com/2015/09/10-monday-am-reads-154/#comment-726194
Who CARES what this bozo says? What sex act does he peform on the Société Générale board?