Scary to see that world wide debt has increased by $57 trillion since the financial crises. Maddening that it would take only $16.5 trillion for the world to meet Paris climate change targets. Infuriating that rich people are hiding $26.5 trillion in offshore accounts, and that the wealth of the 1% is $127 trillion.
2018/04/19: Currency today is created by private institutions who create as much money as banks and governments desire. This money is created out of thin air, literally by punching a few keys on a computer and sending tiny currents of electricity to a screen which displays whatever number the private corporation wants. It is not backed by anything of value, yet these private institutions charge interest to governments and private sector borrowers.
For every dollar created and loaned, the magical money-lender demands that dollar back plus interest. Since the lender is demanding more than was created, it is mathematically impossible to ever pay off debt, because the interest simply just doesn’t exist.
2017/01/10: When we added up the replacement cost of all of the city's infrastructure -- an expense we would anticipate them cumulatively experiencing roughly once a generation -- it came to $32 billion. When we added up the entire tax base of the city, all of the private wealth sustained by that infrastructure, it came to just $16 billion. This is fatal.
It's obvious to me why this is fatal, but for those of you for whom it is less clear, let me elaborate.
To maintain just the roads and drainage systems that have already been built, the family in a median house would need to have their taxes increase by $3,300 per year.
Thus, Lafayette has a predicament. Infrastructure was supposed to serve them. Now they serve it.
The way this happened is pretty simple. At Strong Towns, we call it the Growth Ponzi Scheme. Through a combination of federal incentives, state programs and private capital, cities were able to rapidly grow by expanding horizontally. This provided the local government with the immediate revenues that come from new growth -- permit fees, utility fees, property tax increases, sales tax -- and, in exchange, the city takes on the long term responsibility of servicing and maintaining all the new infrastructure. The money comes in handy in the present while the future obligation is, well....a long time in the future.
All this infrastructure is a bad investment. America needs a different model of growth and development.
2016-02-19: Rising raw-materials prices are typically bad news for most stocks. Not any more.
We are creating a permanent class of unemployed Americans.
Failed bank tracker Date, Description*, Image, Place*, Location( latitude, longitude), Source*, Source URL*, Total assets of balance sheet of bank at time of failure( EUR+ orig. currency)*, Source( link for total asset of balance sheet), Corporate entity, Acquirer( public or private), Type of r...
2017/11/22: I want to tell you a story of economics, love, and death. Kind of a Romeo and Juliet parable for the modern age, where the protagonist are societies, not people, who made a kind of suicide pact
The Trump administration may find itself amidst serious economic trouble with a steadily increasing federal deficit and national debt. In case Donald Trump is re-elected in 2020 he may have to deal with a $1 trillion deficit and a US debt-to-GDP ratio exceeding 100 percent.
We need an economy that finally cements the most fundamental freedom: to decide how we live our lives. One simple policy can deliver that.
About 66% of Millennials have absolutely nothing saved for retirement. Four of them tell CNN why.
Michael Hudson in a preface to the 2017 German edition of the 1972 classic Super-Imperialism. Hudson reflects on the will of the US to bend major institutions to its favor.
This is the English version of an article originally published by La Repubblica on August 8, 2016.
The Peak Oil story got some things right. Back in 1998, Colin Campbell and Jean Laherrère wrote an article published in Scientific American called, "The End of Cheap Oil." In it they said: Our analysis of the discovery and production of oil fields around the world suggests that within the next decade, the supply of conventional oil
Economic growth never seems to be as high as those making forecasts would like it to be. This is a record of recent forecasts by the International Monetary Fund: Figure 2 shows world economic growth on a different basis--a basis that appears to me to be very close to total world GDP, as measured in
Altro che crisi dei migranti e il crack di quattro banchette corrotte di provincia. Nessuno ne parla, l'argomento è tabù per Matteo Renzi e soprattutto per il ministro Padoan e il suo staff al Mef: oggi l'Italia rappresenta il massimo rischio sistemico globale. In che senso? Per via del suo colossale debito pubblico. Della questione
Druid perspectives on nature, culture, and the future of industrial society
The traditional understanding of supply and demand works in some limited cases--will a manufacturer make red dresses or blue dresses? The manufacturer's choice doesn't make much difference to the economic system as a whole, except perhaps in the amount of red and blue dye sold, so it is easy to accommodate. A gradual switch in
The truth of the matter is, the very powerful Troika of creditors were not interested in coming to a sensible, honorable mutually beneficial agreement. -- Yanis Varoufakis The euro was flawed from the start, everyone knew this. Yes, Greece should leave the euro, but difficult to create a new currency from scratch. Not in the
Ever since Bill Clinton and the World Bank enthusiastically embraced the microfinance concept in the 1990s, we at Local Futures have been skeptical of its benefits, seeing it as part of a whole package of "market solutions" to our social and environmental crises that, in the long run, make things much worse. We have pointed
A must-read interview transcript of economics professor Michael Hudson: (we recommend reading this analysis by Ann Pettifor as a complement) "SHARMINI PERIES, EXEC. PRODUCER, TRNN: Welcome to the Michael Hudson Report on The Real News Network. I'm Sharmini Peries coming to you from Baltimore. The Euro is slipping against the dollar, and the European financial... Continue reading ...