Goooooood Morning Fiatnam!

Wednesday, July 30, 2014

Federal Reserve Bank of New YorkStaff Reports Fundamental Disagreement

Federal Reserve Bank of New YorkStaff Reports Fundamental Disagreement
Revised April 2014
  • We see the symmetry of agents as an appealing property as it is consistent with the well-documented fact that the consensus forecast is difficult to beat, i.e., that no individual forecaster has systematically better forecast performance (e.g., Bauer, Eisenbeis, Waggoner, and Zha, 2003; Stock and Watson, 2004). Moreover, Coibion and Gorodnichenko (2012a,b) provide evidence, by studying the conditional response of consensus forecast errors to shocks, that models with the aforementioned asymmetries are not consistent with the data. It is also important to point out that in our modeling setup, agents forecast an exogenous data generating process. That is, we abstract from any feedback from forecasts to outcomes in general equilibrium as well as from strategic interactions or other forms of endogenous information acquisition. While we believe that these effects may also be important, our focus is to keep the model environment as simple as possible. Economics is hard

Obama: Muslims Built 'The Very Fabric of Our Nation'

The comments were made to mark the celebration of Eid-al-Fitr, a time of spiritual renewal for Muslims which comes at the end of the month-long fast of Ramadan. The Obamas said in their statement that Eid “celebrates the common values that unite us in our humanity” and “welcomed their commitment to giving back to their communities.” The International Business Times reports that during Eid, Muslims join in Islamic prayer, while saying "Allahu Akbar," or "God is Great," and feasting.
The statement further reads that the administration “wishes Muslims in the United States and around the world a blessed and joyous celebration.” The letter ended with salutation of “Eid Mubarak,” which roughly means “blessed celebration.”

Clearly the smartest president we've ever had, do you agree gentlemen?

"When government fails

We seem to have lost our representation in Washington, as Congress fails to intervene in President Obama's deeper and wider grab at executive power. And at times, the Congress, acting with slight of hand, seems intent on making moves that only enhance the president's position.

Didn't turn out so well for government the last time a lack of representation became an issue that aroused the American people.

"Sir, we have done everything that could be done, to avert the storm which is now coming on. We have petitioned; we have remonstrated; we have supplicated; we have prostrated ourselves before the throne, and have implored its interposition to arrest the tyrannical hands of the ministry and Parliament. Our petitions have been slighted; our remonstrances have produced additional violence and insult; our supplications have been disregarded; and we have been spurned, with contempt, from the foot of the throne. In vain, after these things, may we indulge the fond hope of peace and reconciliation. There is no longer any room for hope." - Patrick Henry, St. John's Church, March 23, 1775

MSNBC Host Repeatedly Tries to Get Rand Paul to Talk About Past ‘Controversial’ Comments — Watch His Plan Backfire


Sen. Rand Paul (R-Ky.) called out MSNBC on the air Wednesday after Ari Melber repeatedly tried to get him to explain how he has “evolved” on parts of the Civil Rights Act, referencing comments he made to Rachel Maddow in 2010.
After making it clear that he has never been opposed to the Civil Rights Act, Paul suggested that MSNBC is too unfair in its political coverage to host an open and honest philosophical discussion on the subject.

Background and History of the West Point Mint


The West Point Mint is one of four current production facilities operated by the United States Mint. It is located near the U.S. Military Academy in West Point, New York, situated on four acres of land that used to belong to the Academy under the Department of Defense.

New Emails: Lois Lerner Referred to Conservatives as '***holes' and 'TeRrorists'


A newly discovered email exchange from Lois Lerner's official IRS email account "directly demonstrates Ms. Lerner's deep animus towards conservatives, which she refers to as '---holes,'" House Ways and Means Committee Chair Dave Camp wrote in a letter to Attorney General Eric Holder on Wednesday.

In that Nov. 9, 2012 email, Lerner further suggests that conservatives will ruin the country: "So we don't  need to worry about alien teRrorists (sic). It's our own crazies that will take us down," she wrote.


An Ebola victim who was allowed to board an international flight was an American citizen on his way home to the United States, it has emerged.
Patrick Sawyer worked for the Liberian government and was visiting his sister there when he developed symptoms while on a plane to Nigeria. He was quarantined on arrival in Lagos and died on Friday.
His wife, Decontee, 34, who like Mr Sawyer is originally from Liberia, currently at the heart of the terrifying Ebola outbreak, said he had been due to travel on to America where he could have become Patient Zero in a US epidemic.

Obama Sued: House Authorizes Lawsuit Against President With 225-201 Vote

And from Reuters:
The Republican-led U.S. House of Representatives on Wednesday cleared the way for the launch of a lawsuit accusing President Barack Obama of overstepping his authority in carrying out his landmark healthcare reform law.

The 225-201 vote, along party lines, to authorize the suit will allow House lawyers to draft legal documents over a five-week summer recess starting on Friday.

It cements the action as a lightning rod for months of bitter campaign rhetoric from both Republicans and Democrats ahead of November elections that will determine the political control of Congress next year.

The suit is expected to claim that Obama exceeded his executive authority in making unilateral changes to the Affordable Care Act, known as Obamacare.

California Health Insurance Rates Rise Up to 88% in ’14


Health-care insurance premiums for individuals in California rose between 22 percent and 88 percent in 2014 from last year, even after the federal health-care overhaul, the state’s insurance commissioner said.

" if you like your increase you can keep your increase "

Argentina Defaults

As Bloomberg notes, by defaulting today, Argentina may trigger bondholder claims of as much as $29 billion -- equal to all its foreign-currency reserves. Just remember that the last 2 days have seen 'smart money' buy Argentine bonds and stocks to all-time record highs.

Waiting for my silver rocket ship