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Persistent Overoptimism Three Ways: Truckers, Fed Economists, Manufacturers

MishTalk

As surface transportation’s peak period ends for the year, and trucking eyes the traditionally slowest time for the industry as first quarter 2016, economic signals are, at best, mixed. Operating revenue decreased 15.9 Trucking Industry Entering a Profit-Killing Era of Overcapacity? in October from 50.2 in September. percent to $182.5

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Inequality Isn’t Just Due to Market Forces — It’s Caused by Decisions the Boss Makes, Too

Harvard Business

In aggregate, such dynamics would operate in a similar manner as unions, systematically raising the wages for low and middle earners relative to high-earners, such that the wage gaps between them are narrowed, thereby lowering wage inequality. There was also variation in whether these capital investments led to workforce reductions.

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Shockingly Bad Fiscal Health of Chicago (and the Financial Engineering Chicago Uses to Hide that Fact)

MishTalk

Chicago finances are even worse than I thought which is saying quite a bit because I have written about the sorry state of Chicago finances on numerous occasion. Many of these uses of bond proceeds are not eligible for tax-exempt financing under the federal tax code." The Corporate Fund is Chicago’s general operating fund.

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As European Banks Retreat from the World Stage, China Is Stepping Up

Harvard Business

Stung by a series of risky foreign adventures that came back to bite them, most large global banks in Europe and the United States have retreated from foreign operations. Of course, the retrenchment of global finance also reflects pressure on banks from regulators and shareholders to rebuild their capital and liquidity.

Banking 28
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Laughable Eurozone Banking "Non-Union"; Expect Disorderly Breakup

MishTalk

A Financial Times analysis of the full banking union resolution process for a lender operating in three countries reveals the labyrinthine procedure that would still be required to wind up a bank. At the heart of the disagreement is what to do when so-called bank resolution funds, financed by the banking sector, run out of money.

Banking 73
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The Cantillon Effect

Tom Spencer

In 2020, the Fed has galloped over the precipice, increasing its balance sheet by around $2.8 In 2016, Brexit and Trump’s victory came as a one-two punch. Central banks pursue “inflation at any cost” in order to oil the wheels of the credit markets. trillion over the last 5 months.

Banking 120