Global Economy

Thanks to huge amounts of fiscal and monetary stimulus, China is in the midst of a very large housing bubble, with predictable results for housing affordability.

The African continent is exceedingly rich in natural resources, yet the living standard of Africans is very low. The most plausible explanation for this discrepancy is the lack of a system that protects private property.

Despite the IMF’s claims to the contrary, the case of Sweden actually shows that a political “solution” to climate change is ineffective.

Abenomics, Japanese Keynesianism on steroids, has made the rich richer, and all others poorer. 

It's hard to see how burning subway cars and torching businesses will reduce inequality in Chile. But the protestors there claim their violence is justified by the fact some people are richer than others.

Let the WTO and all its agreements go already! We cannot salvage something that was broken from the start. 

Politicians, who claim that a week in politics is the long term, fail to see any problem.

The string of spending increases announced daily in Europe disguise an extremely dangerous bet: that the ECB will bail out the eurozone forever.

A new banking crisis is not only in the making, for which the repo problem serves as an early warning, but it could escalate quite rapidly.

The repo crisis — and it is a crisis — is telling us that liquidity providers are aware that the price of money, the assets used as collateral and the borrowers’ ability to repay are all artificially manipulated.