left right politics showbiz tech invest good life gossip fun hot
Mother Jones Hot Air Huffpo Variety Engadget Seeking Alpha Lifehacker TheSuperficial Daily Beast reddit
Daily Kos Michelle Malkin Politico Billboard Boing Boing TheBigPicture Luxist TMZ.com Fark BuzzFeed
ThinkProgress RightWingNews First Read CNN Showbiz Gizmodo FT Alphaville Joystiq Perez Hilton 4chan memorandum
Crooks+Liars Power Line CNN ticker E! Online Techcrunch Josh Brown Kotaku gamer Bastardly Post Secret Techmeme
TalkngPtsMemo Ameri..Thinker Swampland TV Guide Ars Technica 24/7 Wall St. TreeHugger Egotastic hascheezburgr Drudge
The Raw Story NewsBusters The Caucus Ent. News Mashable bloggingstocks Consumerist PinkIsTheNew dooce digg
Wonkette Wizbang fishbowlDC HlywdWiretap Google blog DealBook lifehack.org CelebrityBaby Someth'nAwful trends
Atrios Taki Magazine WashWhisprs DeadlnHllywd Read/Write Jeff Matthews 43folders GoFugYourself Neatorama PSFK
Firedoglake Big Hollywood The Fix MSN Ent. OReilly Radar PhilsStockWorld Autoblog Page Six Cool Hunter BBC
Young Turks IMAO Capital Gains Rot'nTomatoes GigaOM Daily Rec'ng Deadspin BestWeekEver stereogum Timespop
Americablog AceOfSpades Open Secrets Cinematical ProBlogger Zero Hedge DownloadSqd Dlisted CuteOverload media eye
Politicususa Redstate WikiLeaks law Cool Tools Bespoke MediaZone PopSugar Dilbert blog TVNewser
CounterPunch Jawa Report econ law.alltop Scobleizer BtwTheHedges Deviant ArtHollyw'dTuna gapingvoid BuzzMachine
TalkLeft Patterico EconLog Volokh Consp. Apple Blog Minyanville Gothamist x17online DailyGrail MediaGazer
Feministing Townhall.com Freakonomics Legal Insurrec.. Valleywag Fast Money Curbed DailyBlabber Prof. Hex Steve Rubel
PolitAnimal OutsideBeltwy CrookedTimbr Conglomerate mozillaZine RealClearMkts FabSugar Gawker OvrheardinNY MediaBlgNRO
Truthdig Moonbattery MarginalRevo SportsLawBlog Smashing W$J Mktbeat Gridskipper Radar Last.fm Threat Level
Alternet RealClearPoli crime W$J Law BlogTechdirt AbnormalRtrns Material Defamer kottke.org Seth's blog
Media Matters Instapundit CrimeblogsBalkinizationMAKE RandomRoger Sartorialist Jossip PumpkinChuckin mediamatters
The Nation Hugh Hewitt All Crime Credit Slips SrchEngLand Stock Advisors Drink'nMadeEasy Just Jared Maps Mania Newshounds
Maddow Blog PJ Media Smoking Gun FindLaw VentureBeat Slope of Hope Mark Cuban Celebitchy CollegeHumor FAIR

Monday, February 2, 2009

Great Recession Roundup — February 2, 2009

Items of Interest:

The Huffington Post:
Bailed Out Bankers To Be Hauled Before Congress
— Rep. Barney Frank plans to call the heads of major bailed-out banks to testify before his committee next week, two aides to the House Financial Services Committee chairman said. — Frank, a Massachusetts Democrat, has been a vocal proponent …

Jane Hamsher / The Huffington Post:
Obama Financial Team to Taxpayers: You'll Get Nothing, and Like It — As a business person, Warren Buffet quite rightly wanted something for his money when he bought up failed banks that couldn't get help anywhere else. In fact, he wanted a lot. He expected to have the ability to make sure the same …
Jill Tubman / Jack & Jill Politics: We are in big trouble: Scary Charts You Need to See
Bailed Out Bank of America Sponsors Super Bowl Fun Fest — Morgan Stanley Hosts Conference at 5-Star Resort in Palm Beach — Despite a near collapse that required $45 billion in federal taxpayer bailout funds, Bank of America sponsored a five day carnival-like affair just outside the Super Bowl stadium …
Kevin Depew / Minyanville:
Five Things You Need to Know --

2. Point: The Dollar is Doomed... I'll be blunt. The US dollar is doomed.

Today, our country (government and private citizens) are carrying a debt load of more than $53 trillion dollars (almost 400% of GDP), and the borrowing is far from over. To put that number in perspective, consider that one billion seconds is about 32 years, but one trillion seconds is nearly 32 thousand years. Our debt is massive.

Remember, the government can't create wealth and productivity; it can only transfer it from one party to another. As a country, where we were once borrowing this money from the rest of the world, mainly China and Japan, we're now reduced to printing this money out of thin air and the end result will be the inevitable devaluation of the US dollar.

Well, that's one way to look at it. But there's another side to this... ahem... coin...

3. Counterpoint: But Wait, Dollars Are Scarce... While the argument in point 2 does seem logical, let's hold off on making funeral arrangements for the dollar just yet.

It may seem counterintuitive, but this financial crisis is precisely why the greenback is increasing in value. It's called deflation. And what's happening is that people who thought they had a certain amount of dollars in assets they own, such as their home, are now finding when they go to sell they aren't getting as many back as they thought they would. This deflation is creating a dollar shortage....
John Tamny / Forbes: This Budget Deficit Is Different -- And Dangerous
Andrew Leonard / Salon: Saving v. Spending: The Penny-Pinching Paradox
Noam Scheiber / The Plank:
How Quickly Will the Stimulus Kick In? — You may recall how, the week before last, Republicans were up in arms over a CBO report showing that under 40 percent of the estimated $350 billion in stimulus spending projects would hit the economy in the first two years.
Conor Clarke / The Atlantic Business Channel: The Senate's stimulus and the CBO

Calculated Risk

MishTalk - Mike Shedlock

Paul Krugman - NY Times

The Big Picture - Barry Ritholtz

naked capitalism - Yves Smith

Pragmatic Capitalism

Washington's Blog

Safe Haven

Paper Economy

The Daily Reckoning - Australia