tag:blogger.com,1999:blog-2761684730989137546.post341479305829279953..comments2024-03-29T02:19:19.866-04:00Comments on Mike Norman Economics: My choice for Treasury Secretarymike normanhttp://www.blogger.com/profile/03296006882513340747noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-2761684730989137546.post-44927935234921763182008-10-20T07:25:00.000-04:002008-10-20T07:25:00.000-04:00Reagan was for a balanced budget ammendment and it...Reagan was for a balanced budget ammendment and it was passed in the Senate in 1982, but did not get by the House.<BR/><BR/>Could be collateral damage to all European currencies, however, Britain and Switzerland are both currency issuers.<BR/><BR/>The rating agencies are clueless. I wouldn't put anything past them. They're far more likely to downgrade U.S. credit rating due to recent bailouts. They rated Japan at a level equal to Botswana in 2002, but it had zero effect on their cost of borrowing and their currency actually strengthened.mike normanhttps://www.blogger.com/profile/03296006882513340747noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-10745633963964226242008-10-19T03:54:00.000-04:002008-10-19T03:54:00.000-04:00Did Reagan tow the balanced budget line during his...Did Reagan tow the balanced budget line during his campaign?<BR/><BR/>On the short Euro trade. If the worst happens and the Euro ceases to function/exist would it be possible that countries like the UK and Switzerland get sucked into the chaos? If so, their soveriegn debt may get marked down? Presenting a possible play in a currency issuers debt, given that USD treasury debt would be considered the safe haven. Is this feasible or am extrapolating to far? I cannot find any data to confirm my thoughts. <BR/><BR/>Regards<BR/>PaulUnknownhttps://www.blogger.com/profile/03743691943357441745noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-75170532442867080812008-10-18T10:35:00.000-04:002008-10-18T10:35:00.000-04:00>>Would he have the political strength and e...>>Would he have the political strength and economic savvy to make such an astute choice?<<<BR/><BR/>That's essentially the question I posed and I think the answer is, "No" for reasons you alluded to.<BR/><BR/>However, change may come nonetheless, but the results are likely to be uneven and halting at times.mike normanhttps://www.blogger.com/profile/03296006882513340747noreply@blogger.comtag:blogger.com,1999:blog-2761684730989137546.post-47778628755117336722008-10-17T20:47:00.000-04:002008-10-17T20:47:00.000-04:00"His ideas and policy prescriptions are ideally su..."His ideas and policy prescriptions are ideally suited to the challenges we face. He does not subscribe to the myths about deficits. He is not mired in "gold standard" type of thinking."<BR/><BR/>I profess little knowledge of the US election process. But, from afar, Mr Obama comes across as politicaly conservative. Certainly no radical. Would he have the political strength and economic savvy to make such an astute choice? <BR/><BR/>Again, from afar, it comes across that nothing more can/will be done about the economic crisis until the next administration is installed?<BR/><BR/>As a matter of interest:<BR/><BR/>"The Macquarie Japan report hunts down indicators for a bottom in the Japan bear and provides some insightful charts:<BR/><BR/>'Japan's P/BV, at 1.05x, is at 20-year lows, having fallen beneath the 1.25x level of September 2002. The latter was a time of intense financial system stress in Japan. Japan's dividend yield is blowing away its 20-year history, reflecting increased payouts on increasingly respectable corporate profitability.'<BR/><BR/>'With bank deposit rates near zero, the history relative to the yield on 10-year government bonds is shown below. The equity dividend yield is now materially above the bond yield.'"<BR/><BR/>and<BR/><BR/>"James Montier says, 'Only 2 stocks manage to pass our deep value screen in the US. However, 35 names in Europe pass and 125 in Japan. This emerging value presents me with the strangest feeling, I think it is called incipient bullishness! Obviously not on the overall market, but with respect to a basket of deep value stocks.'"<BR/><BR/>Value is starting to pop up around the world.<BR/><BR/>Via: Victor Neiderhoffer's Board.<BR/> <BR/>Also:<BR/><BR/>Lew "Liars Poker" Ranieri on the difficulties of restructuring MBS debt.<BR/><BR/>Via:<BR/>http://calculatedrisk.blogspot.com/2007/04/ranieri-on-mbs-market-its-broke.html<BR/><BR/>(I have no affiliations with the above)<BR/><BR/>Regards<BR/>PaulUnknownhttps://www.blogger.com/profile/03743691943357441745noreply@blogger.com