Nicole Gelinas in the New York Post: “NewYork politicians spent the spring devising a new way to squeeze more blood from Wall Street, in the form of a ‘temporary’ tax surcharge on well-compensated workers. But you can’t tax a ghost. What if Wall Street and its highly paid executives simply disappear?”
Thanks to Anders Mikkelsen.
You’d think that after 10-plus years of economic recession, despite having forced interest rates down to near-zero levels in their never-ending quest to pump new money into the economy, the central banking Samurai at the Bank of Japan would show the good sense to admit defeat and fall on their swords. Instead, writes Martin Fackler in the Globe and Mail, the BOJ has announced a new policy of buying corporate debt, including some with a junk-grade
Jeffrey Herbener has the top letter to the editor in the Wall Street Journal today ($). But you read it here first anyway.
Gold Bugs Get their Answer (Insight): Gold bugs have for years contended that the price of gold has been manipulated by bullion banks in cooperation with the central banks. Based on the admission of Barrick’s attorney, it appears the central banks are indeed very much involved if only to assist in Barrick’s defense.
The prospect of deflation haunts the political and economic establishment in our western democracies. Their fears are understandable, at any rate from an economic point of view. Consider the following three basic propositions of monetary economics:
The CBO projects a budget deficit of over $400 billion for FY2003, reports this morning’s Washington Post. ”Daniels predicted the deficit for 2004 would look better, but Wall Street economists have said next year’s deficit will likely approach $500 billion.”
An emailer sent me these lines from Ayn Rand’s Atlas Shrugged, a conversation between a government official and a businessman:
“We’ve waited a long time to get something on you. You honest men are such a problem and such a headache. But we knew you’d slip sooner or later- and this is just what we wanted.”
“You seem to be pleased about it.”
“Don’t I have a good reason to be?”
“But after all, I did break one of your laws.”
