Month: November 2023

The Bear’s Lair: The G in ESG is as bad as the E and the S

The ESG movement, whereby companies follow centrally approved directives in the areas of environmental activity, social activity and governance, has seen some setbacks recently. Environmental and social goals have been criticized as reflecting leftist political wish-lists not compatible with fiduciary duties to shareholders and others. Yet the “G” – governance – which had been seen […]

The Bear’s Lair: Is the West adopting China’s model?

Under Xi Jinping, China has moved away from its previous mixed economy to one in which all major decisions are taken by the state and are subject to the Five-Year Plan. Business leaders must toe the party line, while foreign investment is allowed into the country only on terms that involve ceding most intellectual property […]

The Bear’s Lair: The decade of debt restructuring

The 1930s saw a major global recession and a decade of debt default and restructuring, sovereign, corporate and personal. The 1970s saw a series of mild recessions, accompanied by inflation; debt defaults and restructurings were far less severe. Today we are likely due for a recession of uncertain length and depth (though unlikely to match […]

The Bear’s Lair: World central banks are wimping out

The Fed’s decision this week to hold the Federal Funds short-term interest rate at the 5.25%-5.50% range mirrored recent actions in other central banks worldwide. That is a pity; inflation is by no means conquered yet and real interest rates are well below their levels of the United States in 1969, the last time interest […]