Blackhawk Bernanke down on M3

Please, forgive the shameless self-promotion, but, in an expanded response to a friendly enquiry, I put together a list of the ulterior motives which might explain why the Fed has suddenly decided to stop publishing M3 data next March.

If nothing else, the piece seems to have been taken up as a navigational warning of the looming economic icebergs which the Arch Counterfeiter and his political masters on the bridge of the USS Titanic will have to try to avoid next year.

A Misguided Defense of Sarbanes-Oxley

Alan Murray of the Wall Street Journal defends the Sarbanes Oxley Act, arguing that its costs do not explain why more companies are going private. In contrast, the CEO of Georgia Pacific explained that his company sold out to private Koch Industries in order to avoid mounting Sarbox costs. Murray claims that estimated annual auditing costs of $14 million (on average) are small compared to CEO compensation and stock options. This comparison is inappropriate.