John Carney is right: a very large number of Americans is always going to be financially illiterate, and there’s nothing we can do about it. Indeed, if we try too hard to do something about improving financial literacy, there’s a good chance we’ll only end up creating a new cohort of overconfident financial illiterates who think they understand things when they don’t.
This chart (via Paul) I think is too meek: of course the current emerging-markets boom is debt-financed. And boy does it look bubblicious, what with the Bovespa having doubled in the past 12 months and rapidly approaching its all-time high. I’m a believer in the long-term future of Brazil, and even count a Brazilian ETF among my few investments. But at this point any investment in emerging markets looks very much like a speculative momentum play: don’t invest anything you can’t afford to lose.
Anybody who thinks that banks always act in their own best interest when a mortgage goes into default (I’m looking at you, Indiviglio) should read the wonderful judgment of Jeffrey Spinner, of Suffolk County Supreme Court, in the case of . Indymac Bank F.S.B. v Yano-Horoski. Apologies for quoting at some length, but it’s worth it:
After putting up a slightly hurried blog entry yesterday, I’ve spent a large part of this afternoon doing a deep dive into the sale of the license to run Chicago’s parking meters: many thank to the Parking Ticket Geek and Daniel Strauss of Gapers Block for prompting me to revisit the issue.
Many thanks to Brad Miller, one of the co-sponsors of the Miller-Moore amendment, who has been doing the rounds of the blogs trying to explain what it does and doesn’t do. He left a comment on my blog on Sunday, and another on Yves Smith’s today; I then spent a good chunk of this morning on the phone to him, nailing down the thinking behind the amendment.