Business Cycles

Barron's is writing about skyscrapers and the Skyscraper Curse. They also quote me on the subject.

The signatures have been collected and submitted paving the way for a vote to establish 100% reserve banking in Switzerland.

Whatever the Fed imagines they can control and whatever their real intentions are, a central authority cannot optimally set prices that are in line with people’s preferences. This is especially important for interest rates, which have far-reaching influence throughout the economy.

ZIRP has created massive asset bubbles throughout the world economy, but also has a diabolical impact on ordinary people who are largely disconnected to the bubbles.

The aim of the article is to refine the Austrian business cycle theory by discussing the effect of changes in banks’ asset structure on the business cycle.

Free Fed money has led to an unprecedented corporate credit binge of excess spending, especially on share buybacks. 

The Boom has Turned to Bust.

There are so many skyscrapers being built in China that I have not been able to keep track of them all. The "Walking Stick" building has just become the second tallest skyscraper in the world. This does not qualify as a genuine worldwide "skyscraper signal," but it does represent a signal for China.

So many skyscrapers are being built right now that there has emerged a shortage in the special glass panels that form the exterior of most modern skyscrapers.