CT Blue

From Bloomberg (via Josh Marshall): Morgan Stanley plans to repackage a downgraded collateralized debt obligation backed by leveraged loans into new securities with AAA ratings in the first transaction of its kind, said two people familiar with the sale. … Two years after the credit markets began to seize up, costing the world’s biggest financial […]

I’ve noted before that California is dysfunctional as a result of the referendum system, which has, courtesy of the right wing, rendered the state ungovernable. The people of the state have voted themselves tax decreases, spending increases, and governmental paralysis, bringing themselves to their present sorry state. To top it all off, they have a […]

I just finished Dean Baker’s Plunder and Blunder, The Rise and Fall of the Bubble Economy. Baker is one of those economists who saw the bubble coming. He was therefore ignored at the time and continues to be ignored, much like those of us who saw the Iraq debacle coming were ignored then, and are […]

Joe Nocera of the New York Times penned an interesting column yesterday about the death of an economic theory called the “efficient market hypothesis”. You know what the efficient market hypothesis is, don’t you? It’s a theory that grew out of the University of Chicago’s finance department, and long held sway in academic circles, that […]