Category Archives: deficits and debt

Eurozone allows stabilization fund to inject capital into private banks: Spain, Italy and France win partial victory

After late night negotiations it has been decided to permit the European stability fund to purchase directly the assets offered by banks in Spain and and Italian sovereign bonds and by so doing permit European funds to be injected directly … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, quantitative easing, Spain, Uncategorized | 1 Comment

Supreme Court upholds Obama Care; Europe continues to debate how to rescue economy from bond market blackmail

The Supreme Court in a 5 to 4 decision with Chief Justice Roberts siding with the majority has upheld most of the Affordable Care Act by ruling its provisions constitutional under the federal powers of taxation. Four of the liberal … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, Italian debt crisis, monetary policy, quantitative easing, Uncategorized, unemployment | 1 Comment

Alvin Hansen, the right amount of money, deficit finance and the search for full employment.

Alvin  Hansen establishes early in his work, Monetary Theory and Fiscal policy that the power to create money is a force to be reckoned with. In the nineteenth century in the U.S.the private banks at the behest of their business … Continue reading

Posted in austerity, business cycles, classical economics, deficit hysteria, deficits and debt, Federal Reserve, fiscal policy, full employment, monetary policy, quantitative easing, quantity theory of money, treasury view, U.S., Uncategorized | Tagged , , , , | 4 Comments

Greek talks appear to fail:New elections very likely;anti-austerity a growing movement

According to the latest reports from Greece the talks among the three leading party leaders and the Greek president have failed to reach an agreement essentially because Syriza is sticking to its position and refusing to agree to enforcing  extreme … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European unemployment, Greek sovereign debt crisis, Mr.Papandreou and democracy, Uncategorized, unemployment | Tagged , , , | Leave a comment

Mélenchon challenges Le Pen in her Pas de Calais assembly seat; Greece new election very likely

Jean Luc Mélenchon , the left wing anti-austerity candidate for the French presidency has announced that he will be a candidate against Marine Le Pen, the right wing National Front Presidential candidate who holds a national Assembly seat in the … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European unemployment, Greek sovereign debt crisis, Uncategorized | Tagged , , | Leave a comment

Coalition building in Greece:A coalition may require Pasok &New Democracy party factions to co-operate with the left.

The head of the the second most sucessful party , Syriza , the coalition of the Left , Alexis Tipras has now been given the task of trying to form a government around an anti austerity position, after New Democracy … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, Mr.Papandreou and democracy | Leave a comment

Triple witching hour for austerity:Hollande wins in France, Labour in Britain, anti-austerity in Greece.

A small but significant earthquake has occurred over the past few days in Europe. The victory of the Socialist party in the Presidential race combined with the election results in Greece along with the drubbing of the Conservative and Liberal … Continue reading

Posted in austerity, business cycles, classical economics, deficit hysteria, deficits and debt, European debt crisis, European unemployment, France politics+economy, Greek sovereign debt crisis, Mr.Papandreou and democracy, progressives, treasury view, UK local elections, Uncategorized, unemployment | Leave a comment

Spanish unemployment 24.4 %;U.S. GDP up 2.2%:austerity not working.

This mornings news is anything but positive. U.S. growth is still positive but it would have been 0.6 % greater had  government cuts not subtracted from the total, leaving U.S. growth in the first quarter still positive but only modestly … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European unemployment, Greek sovereign debt crisis, Spain, Uncategorized, unemployment | Leave a comment

UK negative growth no surprise: austerity leads to double dip recession.

Britain has suffered a double dip recession according to the latest GDP data for the first quarter of 2012. The economy contracted in this quarter 0.2% after having contracted 0.3 % in the fourth quarter of 2011. This is no … Continue reading

Posted in austerity, classical economics, deficit hysteria, deficits and debt, European debt crisis, Uncategorized | Leave a comment

On Debt follies and deficit hysteria:intelligent voices from the past

Among the many 1000 books in my library is a macro economics text, Macroeconomics:The measurement,analysis and control of aggregate economic activity, 3rd edition from 1968 written by Thomas Dernburg who was then  Professor of Economics at Oberlin college and Duncan … Continue reading

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, Greek sovereign debt crisis, Italian debt crisis, J.M.Keynes, Uncategorized | Leave a comment