Don’t call it a target: The thing about nominal GDP

March 27, 2013

Ask top Federal Reserve officials about adopting a target for non-inflation adjusted growth, or nominal GDP, and they will generally wince. Proponents of the awkwardly-named NGDP-targeting approach say it would be a more powerful weapon than the central bank’s current approach in getting the U.S.economy out of a prolonged rut.

Hey brother, can you spare a coupon?

February 28, 2013

Remember those green shoots? Ever since Fed Chairman Ben Bernanke uttered those words in response to the first signs of recovery from the Great Recession in 2009, many forecasters – including Fed officials – have consistently overestimated the economy’s strength.

Still not thinking the very thinkable on Britain’s future

February 20, 2013

Mark these words. Not only is Britain going to avoid a triple-dip recession, but the economy won’t shrink again as far as the eye can see.

100-years of solitude in the euro zone

February 14, 2013

The euro zone slipped deeper into recession than economists expected in the fourth quarter of 2012 as Germany and France– the region’s two largest economies – shrank 0.6 percent and 0.3 percent respectively on a quarterly basis.

The wider point about Britain’s “triple-dip” recession threat

January 25, 2013

Britain’s economy shrank an estimated 0.3 percent at the end of 2012 and every major media outlet says it points to a big risk of a triple-dip recession.

Ignore the noise around Britain’s GDP figures

January 24, 2013

One of two stories will probably emerge from Friday’s first reading on how the British economy fared at the end of last year.

Big government kept a “contained depression” from being a Great one: Levy

January 9, 2013

David Levy says he is bullish on the U.S. economy long term. But for now, the country is effectively stuck in a “contained depression,” the chairman of the Jerome Levy Forecasting Center told Reuters during a recent visit to our Washington bureau.

Spain’s house of cards

October 26, 2012

Looking at some of the recent trends in the euro zone debt market, one could be forgiven for thinking the region is doing alright.

Guarded Bernanke still manages to toss a bone to Wall Street and Washington

August 31, 2012

Ben Bernanke has done it again. In his much-anticipated speech Friday, the Federal Reserve chairman managed to tell both investors and politicians what they wanted to hear – that “the stagnation of the labor market in particular is a grave concern” – all while saying next to nothing new about where U.S. monetary policy is actually headed. That the Fed, as Bernanke also noted, stands ready to ease policy more if needed was well known to anyone paying attention the last few months. We also know that the high jobless rate, at 8.3 percent in July, has long been Bernanke’s main headache in this tepid economic recovery.

Draghi engineers August lull, but wait for September

By Mike Peacock
August 10, 2012

Having not enjoyed a summer lull for a good few years, we might as well take advantage of this one which appears set to last for another couple of weeks yet (famous last words).