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

Attention Republicans/Blue Dog Democrates: Tax cuts as stimulus work against your goal

by Divorced one like Bush I think it’s time to reread the World Bank report on what creates wealth because it seems that the arguments against the stimulus are from a mind-set of very narrow thinking about what creates wealth. They all seem focused on what the World Bank report calls “Produced Capital”. Unfortunately, focusing […]

CEO Math

by divorced one like Bush Honda has done some math, Honda Motor Co. now expects 185 billion yen ($2.06 billion) in group net profit for the fiscal year ending March 31, 2009 — less than a third of the 600 billion yen it earned last fiscal year.For every yen the dollar declines, Honda loses about […]

Good Summary, with Expanded Notes

Ken Houghton Pulled from comments (to the Librarian post at Eschaton): [W]ithout economic knowledge, DFHs don’t understand why the bailout of banks so that they would keep credit flowing is critical, while the bailout of the auto industry caused by the fact that the banks spent the money on acquisitions and executive pay instead of […]

People Get Paid to Write This Stuff?

Tom Bozzo reads Tom Friedman and wonders why. I guess Friedman doesn’t like bailing out the Detroit Three which collectively sell millions of vehicles in the U.S. when we could get in on the ground floor with start-ups with interesting ideas but which otherwise sell none. Maybe it’s the CRE bust talking, but Friedman’s imagery […]

Was GM et al asking for Central Planning (as in communism)?

by: Divorced one like Bush Ok, the auto CEO’s are all lined up. They get asked the populist setup question: Are you going to sell your jets? And they just sat there, as dumb looking as could be. They didn’t say a word. Not a word! To me, that proved they were the wrong people […]

Chrysler and Cerberus

Full article here Chrysler is the smallest of the Big Three automakers, but it stands apart from its peers in another crucial respect. While General Motors and the Ford Motor Company are public corporations, Chrysler is controlled by one of the world’s richest and most secretive private investment companies. That investment company is Mr. Snow’s […]