The Stash
Douthat Is Making Sense on the Deficit
Is Dubai the First Casualty in a Global Epidemic?
Officially, the only news coming out of Dubai on Sunday was that the central bank of the United Arab Emirates, the seven-state federation of which Dubai is a part, will extend ample credit to banks in Dubai. That should avert a series of runs now that it's pretty clear Dubai's banks have piles of bad loans sitting on their balance sheets. READ MORE >>
What's the Most Depressing Day of the Week?
The start of the work week is typically associated with blue feelings, but the weekend could actually be worse for our moods. The following chart comes from Alpaslan Akay and Peter Martinsson, who looked at how Germans rated themselves on an 11-point scale of feelings of well-being, broken down by day of the week: READ MORE >>
Why Didn't Obama Push Harder on TV Coverage in Shanghai?
Last week I criticized the White House for backing down when the Chinese insisted on limiting coverage of Obama's townhall meeting in Shanghai. I still think the Chinese were bluffing, and that their bluff could have been called without any fallout. READ MORE >>
Worth Reading
TARP repayments may force banks to raise yet more capital. Healthcare rationing is as American as apple pie. Krugman supports a Tobin tax. New VoxEU e-book: The Great Trade Collapse READ MORE >>
What Dubai Means for the U.S.
The Incredible Lightness of the U.S. Media
Why Banks Shouldn't Control Clearinghouses
In my post yesterday about derivatives, I mentioned the importance of "clearing," which would help sever the interconnections between firms on either side of a derivatives trade. (The interconnections are what can put the whole financial system at risk when one firm, like Lehman, runs into trouble.) READ MORE >>
Worth Reading
Luxury goods cause people to think more about themselves than others. The average senator is three times richer than the typical House member. Exiting BusinessWeek economist Michael Mandel has a new blog. READ MORE >>
Benmosche and the Future of AIG
It looks like AIG CEO Bob Benmosche has decided to stick around for a while. The Wall Street Journal reports today that he's just signed a noncompete agreement, which part of his $10.5 million compensation deal is contingent on. The piece also suggests Benmosche assured AIG's board yesterday that he's committed to staying. READ MORE >>
