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Global Systemic Crisis 2013: The Huge Statistical Fog

Global Systemic Crisis 2013: The Huge Statistical Fog. In the Up & Down trends published in the GEAB January issue, our team wrote the following in the Down section “Economic indicators”: Between short-term economic indicators which … — Fri, 29 Mar 2013 00:00:00 -0700
‘A giant sucking sound as money exits Cyprus’. Patrick L Young is expert in global financial markets working in multiple disciplines, ranging from trading independently to running exchanges. Get short URL. Published time: March 29, 2013 06: … — Thu, 28 Mar 2013 23:06:51 -0700
As demonstrated in STWR’s report Financing the Global Sharing Economy, governments could raise trillions of dollars annually to facilitate this process through a range of redistributive measures, from tax and debt justice to redirecting … — Thu, 28 Mar 2013 21:05:54 -0700
“Equally important, taxes aren’t a net loss to the economy, as tax revenue finances the government’s provision of services that are economically and socially valuable. “The upshot is that from the perspective of the entire society, the real cost of abatement isn’t firms’ and … He is currently researching the economic cost of failing to ease global warming and its effects on such industries as farming. The good news that a world with cooler temperatures can still churn out jobs comes with two … — Thu, 28 Mar 2013 21:00:12 -0700
Still, the performance of the American stock market would have seemed improbable during the depths of the crisis, given that it was financial markets in the United States that led the global economy into recession. Strategists and economists … — Thu, 28 Mar 2013 17:16:35 -0700
Lullu Krugel, Senior Economist for KPMG comments on financing investment and development: SMMEs are regarded globally as one of the major catalysts for economic growth and development. This is even more apparent in the aftermath of … — Fri, 29 Mar 2013 00:07:39 -0700


Rational Reason to Panic

Southeast Asia ready to build, but will investors help?

Easy global liquidity and investors’ eagerness to tap one of the world’s few fast-growing regions should create a sweet spot for the region to fill the $600 billion in infrastructure needs the Asian Development Bank identifies over the next decade. … Indonesia, the biggest regional economy, estimates it alone needs $150 billion worth of new infrastructure, but is only willing to finance 15 percent and has seen few takers so far for the public-private partnerships (PPPs) it is relying on. — Wed, 27 Mar 2013 23:31:59 -0700
Although this is mainly true of western countries, the BRICS states are also negatively affected; export markets are shrinking, global finance lacks stability, and global economic growth is slowing down. At the same time, Russia invites its … — Wed, 27 Mar 2013 22:50:00 -0700
It will be the first institution established by the informal grouping, and is a direct snub to the World Bank. The leaders began holding forums at the start of the global financial crisis in an effort to set an economic path that was not dominated by … — Wed, 27 Mar 2013 22:32:00 -0700
The Economic Collapse. Are You Prepared For The Coming Economic Collapse And The Next Great Depression? Don’t be surprised when the global elite confiscate money from your bank account one day. They are already very clearly telling you that … Dutch Finance Minister Jeroen Dijsselbloem is the president of the Eurogroup – an organization of eurozone finance ministers that was instrumental in putting together the Cyprus “deal” – and he has said publicly that what has just … — Wed, 27 Mar 2013 22:09:00 -0700
They observed that recession, fragile growth and deflationary conditions in some advanced economies are at the root of the global economic slowdown, and that the impact is spilling over through weaker demand, a significant slowdown in international trade growth, and … The Forum offered a platform for companies and policy makers to interact and network to promote cooperation in infrastructure development, mining value added production, finance, agriculture and green energy. — Wed, 27 Mar 2013 22:00:26 -0700
After months of calm in global markets, concerns about the future of the euro zone are back with a vengeance. … Dutch Finance Minister Tanks Markets; Is Cyprus a “Template”? Europe Major Headwind for Global Share Rally · Asia: Squawk Box … — Wed, 27 Mar 2013 19:35:00 -0700

European Bank Assets as Multiple of GDP

European Bank Assets as Multiple of GDP

Somehow we are supposed to believe that 7-1 ratio of deposits to GDP is a problem but the 22-1 ratio in Luxembourg is not. And what about the 4-1 ratios in France and the Netherlands?


Avoiding middle income groth trap trough innovation

To do this, exporters must understand the quality, price, and consumer preference points of the global economy, which is a demanding task. Most firms start by developing in domestic markets, and only then expand to regional and global … — Wed, 27 Mar 2013 01:00:12 -0700
UK economy likely to avoid triple-dip recession in 1Q FY2013, says Capital Economics. Capital Economics Chief U.K. … Bank of England chief Mervyn King warned that the global financial crisis is far from over. At an event at the London … — Wed, 27 Mar 2013 00:18:00 -0700
Investors guided by economic reality will perhaps miss out on some of the excitement of the market rally but they will survive when reality crashes in on this party. Posted on 27 March 2013 Categories: Banking & Finance, Bond Markets, Global … — Tue, 26 Mar 2013 21:54:02 -0700

Hyperinflation? No. Inflation? Yes.

Hyperinflation? No. Inflation? Yes. 

How Does the Dollar’s Value Affect the Global Economy? The dollar has become a staple currency for the invoicing of exports, and as a transaction currency in foreign exchange markets. For example, Australia, Korea, Thailand, and Malaysia … — Tue, 26 Mar 2013 00:00:00 -0700
Euro Crisis is Just Beginning, Global Collapse is Coming · Youtube … To Receive Our Newsletter. Close. Posted by Activist Post at 1:17 AM Labels: cyprus bailout, Cyprus bank raid, economic collapse, Economy, eurozone debt crisis, video … — Tue, 26 Mar 2013 01:17:00 -0700
capital flows manifested in using the global saving by gross external debt: the rank position per capita and % of GDP. Rank positi. according to NIIP … Global finance and economy, money, crisis, recovery. TEXTS IN ENGLISH – IZABRANI … — Tue, 26 Mar 2013 01:06:25 -0700
From the invention of coins by the ancient Lydians to the 21st-century eurozone, human history tells the tale of ingenious financial systems and the never-ending quest for economic solutions. Today, our global economy is both fascinating and … — Tue, 26 Mar 2013 00:55:53 -0700
The Summit of BRICS nations here tomorrow may take a call on the setting up of a development bank notwithstanding some key issues dogging it even as the leaders will advocate reforms of the global governance architecture. … Finance Ministers of the five-nation grouping including P Chidambaram and those of Brazil, Russia, China and South Africa are likely to prepare a report for consideration of their leaders tomorrow in which they are expected to say that launching a BRICS … — Tue, 26 Mar 2013 00:16:31 -0700
How Does the Dollar’s Value Affect the Global Economy? The dollar has become a staple currency for the invoicing of exports, and as a transaction currency in foreign exchange markets. For example, Australia, Korea, Thailand, and Malaysia … — Tue, 26 Mar 2013 00:00:00 -0700
Two pacts on BRICS Multilateral Infrastructure Co-financing Agreement for Africa and BRICS Multilateral Cooperation and Co-financing Agreement for Sustainable Development will be signed today at the meet. … BRICS think-tank Council (BTTC) will comprise of Institute for Applied Economic Research (JPEA) Brazil, National Committee for BRICS Research (NRC/BRICS) Russia, Observer Research Foundation, India, China Centre for Contemporary World Studies, China. — Mon, 25 Mar 2013 23:56:30 -0700

Mish’s financial blog covers global news and macroeconomic events regarding the world economy. The blog’s primary focus is inflation, deflation, and hyperinflation topics, especially currencies, gold, silver, crude, oil, energy and precious … — Mon, 25 Mar 2013 23:08:00 -0700

United States of Germany

Following brutal negotiations with EU finance ministers, the IMF and various European government officials, Cyprus finally agreed to measures that her highness, Angela Merkel would accept. — Sun, 24 Mar 2013 19:02:00 -0700
The academic forum also reportedly agreed that the BRICS mechanism would achieve more in reforming the economic architecture of global financial institutions, such as the WTO, than having any impact on the political ones, such as the UN … — Sun, 24 Mar 2013 23:14:03 -0700
It just enables government to extract wealth from the private sector to finance the promises it made to citizens that is has no other way of keeping. … There is more money than the economy has earned through wealth creation. The excess money seeks return-on-investment. It seeks returns globally. The excess money is driving down rates of return in all classes of investment. Therefore, the Fed is driving interest rates down so that federal profligacy can be continued at low-interest rates. — Sun, 24 Mar 2013 19:35:36 -0700


Large US deals push global M&A volume higher

Cheap financing, strong equity markets and growing confidence in the economy has led more US companies to pursue large acquisitions in the first quarter, making up for flagging activity in Europe and Asia. — Thu, 21 Mar 2013 23:31:19 -0700
Why is the global economy in so much trouble? How can so many people be so absolutely certain that the world financial system is going to crash? Well, the truth is that when you take a look at the cold, hard numbers it is not difficult to see why … — Thu, 21 Mar 2013 23:09:00 -0700
Given that the size of the derivatives market dwarfs the entire global economy, and given that derivatives are – by definition – not real assets, but paper abstractions loosely based upon real assets, manipulation of derivatives can drive asset … — Thu, 21 Mar 2013 23:00:45 -0700
… 20 2013 – 4:26pm. Is the country’s new top financial regulator willing to keep reform rolling? … Take toll roads, the relatively humdrum expressways provide a dose of certainty in an unclear Chinese and global economy. The business model … — Thu, 21 Mar 2013 18:38:58 -0700
Aside from the Cyprus shadow on markets, previous poor earnings reports from heavyweights FedEx (FDX) and Oracle (ORCL) lingered–FDX especially since its condition best reflects a declining global economic environment. Piling on Thursday, FBR Capital Markets also … The market is fine. Cyprus is a long ways away from us. As soon as I (win the lottery)… figure out my finances, stop drinking beer, smoking, eating, and paying for electricity every month I believe things will be OK. — Thu, 21 Mar 2013 17:19:13 -0700
Over the course of the last few days I have been swamped with media calls to discuss the “deposit tax” on Cyprus account holders and the potential impact on global financial markets and, more importantly, the possibility of such an event occurring domestically. (See recent Fox Business … As interest rates have steadily been pushed lower by the Fed – the surge in accumulation of debt to offset the declines in savings and incomes has weakened economic prosperity. The chart below … — Thu, 21 Mar 2013 16:19:25 -0700
Why is the global economy in so much trouble? How can so many people be so absolutely certain that the world financial system is going to crash? Well, the truth is that when you take a look at the cold, hard numbers it is not difficult to see why … — Thu, 21 Mar 2013 14:19:57 -0700


Small enough to fail is Cyprus

Print this page. Banking & Finance Sign Up for free News Alerts … Can the plug now be pulled on Cyprus without setting off another wider global financial crisis? True the scale of losses involved in the bankruptcy of Cyprus is a fraction of those immediately … The financial condition of the US economy is not Cyprus but it is not very strong either with high debts and a central bank balance sheet stretched almost to breaking point. The capacity to withstand external shocks is no greater … — Wed, 20 Mar 2013 21:12:07 -0700


Indonesia’s economy survived a global financial crisis in 2008-09 thanks to prudent debt management. More than half of the country’s debt issuance was in rupiah-denominated bonds, as the country was trying to avoid the resurgence of a … — Wed, 20 Mar 2013 19:57:42 -0700

While the economy of Cyprus is tiny — a mere 0.2 per cent of the eurozone — its exit from the shared currency could raise speculation that other, larger countries could leave, roiling global financial markets. Cypriot political leaders held … — Wed, 20 Mar 2013 19:51:52 -0700

GLOBAL ECONOMIC CRISIS: 2007–2012 global financial crisis, is considered by many economists to be the worst financial crisis since the Great Depression of t… Video Rating: 4 / 5. Tags: 2012, Collapse, Crisis, Debt, Economic, Global, … — Wed, 20 Mar 2013 19:12:49 -0700

Economists, political scientists, sociologists, and entrepreneurs from 30 countries gathered at Moscow Economic Week Wednesday to discuss the state of the global economy. Sponsored by Moscow State University, the forum … Grzegorz Kolodko, the former Deputy Prime Minister and Finance Minister of Poland, approached the challenges from the point of view which stressed that today’s crisis is embedded in the problems of neo-liberal capitalism. “And neo-liberal capitalism is the … — Wed, 20 Mar 2013 18:06:51 -0700

Japan’s exports fell more than economists forecast

The nation’s trade deficit persisted, underscoring challenges to Prime Minister Shinzo Abe’s campaign to revive the world’s third-biggest economy. — Wed, 20 Mar 2013 16:35:00 -0700


Print Cyprus Pounds and Abandon the Euro

The conservative opposition parliamentarian of Cyprus, Marios Mavrides, said Wednesday that if his country can not find a solution shortly, it “will begin to print  Cyprus pounds and abandon the Euro. — Tue, 19 Mar 2013 21:28:00 -0700
Anat Admati Diagnoses Our Rickety Financial Institutions and How To Tame Them. Stanford economist Anat Admati … But that ignores every other aspect of global economic competition, said Admati. After all, the banks in Cyprus, Iceland, and … — Wed, 20 Mar 2013 00:01:22 -0700
In a world unbalanced by national policies designed to protect and ensure the stability of the national economy of a country, areas of global inequality in terms of workers rights and how the protection of these rights has lead to areas like the … As prosperity grew, the union, flush with the proceeds of member nations keen on building equality to stimulate trade, grow internal markets and develop the region, was only too happy to distribute huge financial incentives in the forms of this … — Tue, 19 Mar 2013 23:45:40 -0700
In other words, the FHFA (Federal Housing Finance Agency) and the federal government MUST realize that the “too big to fail” policy will HAVE to extend to banks all over the world due to this mind-blowing interdependence. … The report stated: “Despite the global economic meltdown in 2008 and the sluggish recovery that followed, that’s up about 7.6 percent from an estimated median net worth of $2.38 million in 2009 … and up 13 percent from a median net worth of $2.27 million in … — Tue, 19 Mar 2013 23:42:00 -0700

Insane Move in Cyprus

It’s easy enough to focus on the smoldering ashes of the politically and economically insane move in Cyprus by the heavy-handed bureaucrats in Brussels and Germany. — Tue, 19 Mar 2013 00:03:00 -0700
Euro continues to correct lower against other major currencies after IMF warned that the Eurozone is exposed to a “downward spiral of capital flight, breakup fears and economic decline”. In the Global Financial Stability Report, IMF said that … — Tue, 19 Mar 2013 01:02:00 -0700
Economic Outlook: Ground for optimism. 2013-03-19 09:00 News. In Nordea’s latest Economic Outlook, released on Tuesday, the forecasts show that the global economy is slowly but surely improving. This will also spread to the Nordic … — Tue, 19 Mar 2013 01:00:36 -0700
The global economy is not a zero sum game. One country’s … Equally important is removing the constraints on private investment, through reform of the finance sector including flagship projects like regional enterprise banks. This is a small … — Tue, 19 Mar 2013 00:41:00 -0700
These events I believe signify one of the most alarming developments in the Eurozone crisis and by dint the global economy since the financial crisis began. Cypriot Disputes and Levies For a sovereign entity so small, Cyprus is a country that … — Tue, 19 Mar 2013 00:08:00 -0700


The real debate isn’t over whether we should have let the big banks fail in 2008 (there is far too much evidence of the devastating economic and social consequences of letting financial crises continue unabated), but rather whether we should have used the crisis as an opportunity to implement fundamental reforms to the … This expectation spurred global investors to lend far too much money to the financial system in the years leading up to 2008, causing the credit boom and bust. — Tue, 19 Mar 2013 00:01:09 -0700


Put a German Flag on Cyprus


EU officials are now swarming over Cyprus threatening to cut off funds to Laiki , Cyprus’ second largest bank if the deal does not go through. Nonetheless, Cyprian politicians are balking because they know what will happen to those who go along with EU blackmail threats. — Sun, 17 Mar 2013 22:06:00 -0700
… an international business school with campuses in France and Singapore. This blog is an opportunity to share our thoughts and research on the global economy with our students, alumni and anyone else who finds the content interesting. — Sun, 17 Mar 2013 20:33:00 -0700
However, two years ago, when economists gave forecast about the decline of the global economy, decided that it needs not only cement its firm position on the loyal market, but also reach to other markets as well. GCS, which has been keen on automation projects in the Japanese … However, problems related to finance, tax, and human resources affected the investment decisions of IT businesses and the IT sector’s growth. Chairman of TMA Solutions Company Nguyen Huu Le said, … — Sun, 17 Mar 2013 20:20:03 -0700
Reliable and relevant indicators on the world economic, political and social situation are, however, essential in order to get through the crisis without mishap. But those used by governments or businesses are, at best, useless in the current … In a world where so many “phantom assets” or doubtful debts, so many opaque or worthless derivative products circulate, finance is increasingly disconnected from reality. Financial indicators (particularly stock exchange prices) must therefore be … — Sun, 17 Mar 2013 20:16:33 -0700
However, this solid growth performance was interrupted by the global recession of 2008-2009. Despite the severity of the global recession, which was fuelled by the financial and economic crisis of 2007/2008, the continent did not go deep into … — Sun, 17 Mar 2013 19:56:00 -0700
What we do know is that the vast majority of global economic growth in the 20th century was predicated on an exponential increase in energy consumption. In other words, productivity growth—20th century’s main economic driver—was mostly … — Sun, 17 Mar 2013 19:00:03 -0700