Relevant and even prescient commentary on news, politics and the economy.

You searched for: label/principal-agent problem

Swiss Bank UBS settles losses to towns

…more than $35 million, representing the principal payments the municipalities initially made. At issue are investments the municipalities made through UBS in short-term bonds known as auction-rate securities, which were…

BW on Soc Sec II: The Shape of Low Cost

…rising to a peak in 2017 then a more or less rapid falloff to zero as the first the interest is tapped and then the principal is redeemed with the…

The Shape of the Future

…can open up.” This metaphor should now form the basis for all decisions, strategies, and analysis. Recessions matter, but the important features of the problems faced by the American economy…

Angry Bear writes in 2004

…is around .14 ($505 is not the actual payment, it’s the quality-adjusted payment; the actual payment is some larger amount). Adding $10,000 to the principal to incorporate the higher commuting…

Credit

…the total outstanding principal balances owed to the trusts on credit cards that were issued by banks such as Bank of America and Capital One and for retailers like Home…

Output Volatility: GDP v. GNP

…countries. The principal source of volatility in Irish real GDP lies in the recorded figures for industrial output. Within the industrial output category, which is the aggregate of manufacturing and…

Redefining ‘Conservative’

…“Government was no longer the problem. Government was now the solution. Federal spending was not to be curtailed. Record federal spending would have his full backing… “Throughout his nationally broadcast…

Housing: Speculation is the Key

…taken out “an adjustable-rate mortgage that won’t require her to pay any principal for three years”. She is already strapped, working overtime to pay her bills, and doesn’t know what…

Personal Income and Saving

…$40 is put into a bank account or used to pay down the principal balance on a loan — both actions increase the individual’s net asset position by $40. One…