It's a sign of our shadowy times that the latest regulatory "reform" bill hasn't been laughed out of Washington. Same goes for the latest bankers' complaint, this time about being asked to cover their own bets. And if you think it's bad now, wait and see what happens if Romney takes over.
Think "global catastrophe."
While bank-friendly politicians offer insipid legislation, the world economy is still at risk. And it could get worse.
The last presidential debate not only continued the silence on climate change, it also advanced the false narrative that we have to choose between economic growth and action on climate change. While the candidates focused on how to keep gas prices down, increase energy independence, and create jobs, they never addressed how we can use our energy plan to fight climate change. By refusing to address climate consequences, both candidates reinforce the idea that we either focus on economic growth or we focus on the environment, but not both.
In politics, there inevitably comes the dreaded time when politics and politicking run into reality. It is the point at which you can no longer appease two opposing parties and a decision must be made that chooses one party's interests over the other. I imagine politicians hate this moment because it shows their true character, for better or worse.
Four years ago today, Lehman Brothers collapsed as Hank Paulson and his colleagues made the fateful decision that free market principles demanded that at least one bank crippled by the deteriorating financial system had to be sacrificed at the altar of moral hazard. These “deciders” had no idea of the firestorm they were igniting. They did not foresee that the financial system that had evolved during 30 years of deregulation (based on specious economic theory and ideology) was so interconnected that it would collapse like a house of cards. Within a few weeks, the U.S.
A study by Demos, a liberal research center, found that a median-income couple that invested in 401(k)’s for 40 years with fees averaging 1.6 percent a year would achieve $354,850 in assets at average savings rates, but only after paying $154,794 in investment fees.
Provide 12 weeks of paid benefits to employees who need time off work to care for a new child, a sick family member, or their own illness. The self-financing trust is funded by premiums paid equally by employers and employees.
Unions were instrumental in creating the American middle class, and today they continue to empower millions of Americans to bargain for wages and benefits that are capable of sustaining a middle-class standard of living.
Many Florida families have been paying up to 25 percent of median income for public in-state college costs — out of reach for some middle-class parents who have taken recent pay cuts or lost jobs, according to a new study.
Some eight years ago, I was at a presentation by Vanguard founder Jack Bogle at a business journalists' conference in Denver, and when his PowerPoint crashed, and he had to use transparencies on a vintage 20th-century overheard projector. After the presentation, he let me keep them, and they still serve as a sort of Rosetta Stone for me for enlightened investing.
Investors who were paying attention got a cold slap of reality this spring when the progressive think tank Demos released a study showing that the median household could expect to pay more than $150,000 in 401(k) fees over the course of a working lifetime, or about a third of potential investment returns. What's more, about two-thirds of 401(k) investors had no idea that they were paying such fees.
It seems there is little real relief on the horizon.
“If you’re coming out of college with an average number of $20,000 to $25,000 in debt and there’s no job out there, you’ve got a real problem,” said John Quinterno, a researcher who has studied the consequences of student debt.
The newest GDP release shows an increase of 1.5 percent in the second quarter of 2012, down from a 1.9 percent growth in the first quarter and three percent growth in 2011. But, as Demos continually asks in our Beyond GDP work: What exactly is GDP measuring?
The days between the Fourth of July and Bastille Day on the 14th are known for fireworks on both sides of the Atlantic. This year, more rockets and firecrackers than usual were going off, but they were inside hearing rooms in the British Parliament and the U.S. Congress. Barclays bank announced that it had been fined more than $450 million by regulators from both countries, and its CEO, Robert E. Diamond Jr., and COO, Jerry del Missier, both resigned. The fines were part of a settlement that granted Barclays immunity from potentially worse punishment for its manipulation of interest rates.
How will Marissa Mayer’s pregnancy play out? Will the new Yahoo chief executive find that it’s not so easy to power through a maternity leave? Or will she spend just a few short weeks at home — working all the while, as she promised in an interview — and thus set the bar high for future pregnant executives of Fortune 500 companies? What should the new “it” mom-to-be do?
One of the big questions environmentalists struggle with is whether there should be a price on nature. For some things, like the cost savings that are realized through cleaner air or water, there is a rote calculation that can be done to price out environmental and health benefits. But, if you think of nature as an independent entity having a worth beyond what it can provide to humans, how do you put a price on it? How much is the Amazon River or the Himalayan mountain range worth?
Every day brings more reminders of the terrible unfairness that besets our country, the tragic reversal of fortune experienced by millions who once had good lives and steady jobs, now gone.
An article in the current issue of Rolling Stone chronicles “The Fallen: The Sharp, Sudden Decline of America’s Middle Class” and describes a handful of middle-class men and women made homeless, forced to live out of their cars in church parking lots in Southern California.
The think tank Demos has been doing a really stellar job commemorating the anniversary of Michael Harrington’s “The Other America” — as mentioned in my poverty charts post yesterday — and their best item so far is this series of beautiful interactive charts illustrating the state of poverty in America: