The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
from The Great Debate UK:
--Ian Bright is Senior Economist at ING. The opinions expressed are his own.--
When Dustin Hoffman was first starting out as an actor, struggling to make ends meet, he managed his money in a simple – but potentially financially dangerous – way.
from The Great Debate:
from The Great Debate:
America has moved to a system where nearly everyone is expected to save and invest for their retirement. Yet remarkably little attention has been paid to the big question: what should people do with their money when they actually retire? Neither the government nor the financial industry has any good answers. This leaves individuals ill-equipped to figure it out for themselves. Before the bulk of baby boomers reach retirement they will need a better solution. That will require the government and the financial industry to define their role in how people finance their retirement.
from Reihan Salam:
Right now, it looks as though Larry Summers has the inside track to be named the next chairman of the Federal Reserve. This is despite the fact that many on the left, from Democratic lawmakers like Oregon Senator Jeff Merkley to influential activists like Mike Konczal of the Roosevelt Institute, are deeply skeptical of Summers, owing to his ties to the financial sector, his impolitic reputation, and the fear that he might be more concerned about the dormant threat of inflation than the very real scourge of long-term unemployment. The discouraging job growth numbers released by the Bureau of Labor Statistics earlier today can’t help his case. But Summers, the former chairman of President Obama’s National Economic Council, seems to have the trust and respect of his former boss, and that may be all he really needs to secure the most powerful economic policy-making job in the country.
from Felix Salmon:
It's May Day, and Henry Blodget is celebrating -- if that's the right word -- with three charts, of which the most germane is the one above. It shows total US wages as a proportion of total US GDP -- a number which continues to hit all-time lows. Blodget also puts up the converse chart -- corporate profits as a percentage of GDP. That line, you won't be surprised to hear, is hitting new all-time highs. He's clear about how destructive these trends are:
from Global Investing:
Indians have reacted to the latest gold prices falls by --- buying more gold. And why not? Aside from Indians' well known passion for the yellow metal (yours truly not excluded) gold has by and large served well as an investment: annual returns over the past five years have been around 17 percent, Morgan Stanley notes.