Larry's Blog
U.S. Performance Didn’t Measure Up to Theory
May 23, 2011
In the latter 1960s and early 1970s when I was studying economics, accepted wisdom swung away from the teachings of Keynes and embraced a neo-classical ideology that encompassed several beliefs. Renewed faith was placed in market mechanisms as a far superior way than others for deciding the allocation and distribution of goods, services and factors […] More
Central Bank Watch
Israel’s Tenth Rate Increase
May 23, 2011
Israel’s policy interest rate was increased today by 25 basis points to 3.25%. It was cut to 0.5% during the Great Recession. But way back in August 2009, the Bank of Israel implemented the first post-recession hike among all central banks. There were two more increases in 2009 of 25 basis points each, three in […] More
New Overnight Developments Abroad - Daily Update
Dollar Rises as Stocks Swoon to One-Month Low
May 23, 2011
The risk trade is off, boosting the dollar by 1.1% against the euro, 1.3% relative to the Australian dollar, 0.8% versus the kiwi, 0.6% against the Swiss franc, 0.5% versus sterling, 0.4% against the Canadian dollar, and 0.2% relative to the yen and yuan. The Swiss franc set a new record high of 1.2323 per […] More
