Month: October 2015

The Bear’s Lair: Combining the worst of Japan and Brazil

Brazil and to a lesser extent Japan have been in trouble recently. Brazil is suffering negative growth as a result of its corruption, government meddling and overspending. Japan has seen growth disappear and debt soar as it pursues Keynesian and easy-money remedies for its problems. Both countries, while different from each other, are generally seen […]

The Bear’s Lair: What would a cashless economy look like?

Bank of England Chief Economist Andy Haldane wants to abolish cash, so central banks can run policies of seriously negative interest rates, abolishing the “Zero Lower Bound” rate constraint on central bank activity. Technology will soon allow this goal to be achieved; we all make far more electronic payments and far fewer cash ones than […]

The Bear’s Lair: Will Brexit break up the EU?

In 2017, British voters will have the opportunity to express their opinion in a referendum on leaving the EU. Currently the vote looks tight, although the decision of Labour leader Jeremy Corbyn to abandon the convictions of a lifetime and support EU membership is a blow for the anti- camp. Yet if Britain votes to […]

The Bear’s Lair: Playthings of the regulators

Volkswagen’s attempt to “game” the U.S. emissions control system and its abject failure to do so have put another industry, automobiles, to join banking, energy, education and healthcare in the hands of the world’s regulators. Massive fines will be imposed, shareholders will be robbed, and companies’ business strategies will be directed by the whims of […]