Global inflation is back, and it is shuffling the kaleidoscope of world economic development. Some countries that had appeared to be thriving are coping poorly with inflation while others, including at least one chronic inflation recidivist, are showing a level of monetary maturity worthy of the Fed’s 1980s Chairman Paul Volcker and far ahead of […]

The Producer and Consumer Price Indexes announced last week were significant in that they sounded the death-knell of Bernankeism. No longer will it be possible to inflate the money supply by pretending that inflation in the real economy is not a problem; other means will have to be found to perpetuate the shell-game.

The financial crisis in the United States and worldwide entered a new phase this week, as Fannie Mae and Freddie Mac, the two huge US home loan institutions, began what appears to be a similar “death spiral” to what which claimed Bear Stearns four months ago. Fannie and Freddie are unique institutions, and will almost […]

British observers have in the last year indulged in a considerable amount of schadenfreude about the US subprime crisis, the excessively expansionary monetary policy of Fed Chairman Ben Bernanke and the substantial recession that appears impending. They should be less eager to gloat; the recession into which Britain is heading is likely to be considerably […]