His findings, in a paper titled The Financial Crisis of 2015: An Avoidable History, sound a cautionary tale.
The 24-page study outlines how banks, unwilling to accept the lower returns on equity that result from requirements to carry higher levels of capital, could inadvertently be fuelling a new asset bubble by chasing high returns in commodities or emerging markets – mostly through Asia.
Regulators, by focusing on curbing the risky behaviour of banks, may be driving risk-taking into unregulated funds that pose a danger to the system, the study finds.
The shadow banking system has been singled out as providing the conditions that inflated the US housing bubble. This quickly evolved into a global crisis.
Monthly Archives: March 2011
Historian Niall Ferguson warns that the West may be at a turning point. Western dominance may be coming to an end.
*In the 15th century the most advanced civilizations were found in the Orient, such as Ming Beijing in China and the Ottomans in the Near East. In contrast, Europe suffered from disease, poor sanitation and near-constant war. Yet, before long, Western European society had overtaken the East and it went on to dominate the rest of the world for most of the next five hundred years. In his new book, Civilization: The West and the Rest, the historian Niall Ferguson argues that there were six elements which enabled the West to outperform the East: competition, science, democracy, medicine, consumerism and the work ethic. However, Ferguson warns that the world is changing and we may be living through the end of Western ascendancy.*
A double agent and his long-overlooked chief handler together pulled off one of the most remarkable deceptions in Israeli intelligence history.
The crowning achievement of Operation Yated was the transfer of false information to Egypt in 1967, on the eve of the Six-Day War. Bitton told the Egyptians that according to the war plan he had obtained from his sources, Israel would begin with ground operations. That was deception of the highest level. It begs comparison with “Operation Mincemeat,” the brilliant deception carried out by British intelligence during World War II regarding the site of the Allied landing during the 1944 invasion of Europe.
Bitton’s misleading information is one of the reasons the Egyptians were so laid back before the war and left their planes out in the open on their airport runways. Israel’s Air Force had no difficulty destroying them within three hours of the outbreak of the war, thereby effectively deciding the outcome of the campaign. “He spared us a great deal of blood, and using him was equal to the strength of a division,” said Avraham Ahituv, the head of the Arab department of the Shin Bet at the time, who was eventually, in the 1980s, appointed to head the organization.
…the only way out of the dilemma, absent very large entitlement cuts, is to default in one (or a combination) of four ways: 1) outright via contractual abrogation – surely unthinkable, 2) surreptitiously via accelerating and unexpectedly higher inflation – likely but not significant in its impact, 3) deceptively via a declining dollar – currently taking place right in front of our noses, and 4) stealthily via policy rates and Treasury yields far below historical levels – paying savers less on their money and hoping they won’t complain.
You can download the full report here (.pdf)
China says the United States is increasing its military presence in the Asia-Pacific region, which is becoming more “volatile”.
In the document, released on Thursday, China gives a downbeat assessment of the regional security situation.
“Profound changes are taking shape in the Asia-Pacific strategic landscape. Relevant major powers are increasing their strategic investment,” it says.
“International military competition remains fierce.”
The document singles out the United States. According to China, it is reinforcing military alliances and getting more involved in regional affairs.
Beijing also says foreigners are now more suspicious of China – and have increased “interference and countering moves” against it.
Senior Libyan rebel “officers” sold Hizballah and Hamas thousands of chemical shells from the stocks of mustard and nerve gas that fell into rebel hands when they overran Muammar Qaddafi’s military facilities in and around Benghazi, debkafile’s exclusive military and intelligence sources report.
Word of the capture touched off a scramble in Tehran and among the terrorist groups it sponsors to get hold of their first unconventional weapons.
When water is heated to 149F (65C) for 5 minutes, then it pasteurized and safe to drink. The WAPI is a simple $7 indicator that tells you when you have reached the correct temperature. I have provided a link below if you wish to buy one.
A Water Pasteurization Indicator (WAPI) is a simple thermometer that indicates when water has reached pasteurization temperature and is safe to drink. It was invented by Fred Barrett and Dale Andreatta.
Pasteurization destroys all microorganisms that cause diseases from drinking contaminated water and milk. A small polycarbonate tube contains a wax that melts when water or milk is heated enough to be pasteurized (65?C/149?F). This saves much fuel by eliminating the need to boil water or milk to ensure that the pasteurization temperature has been reached.
Since water pasteurizes at temperatures well below the boiling point of water, WAPIs save time when solar pasteurizing, and save fuel when using traditional fuels.
Extremely versatile, portable, and incredibly fuel efficient, this award-winning charcoal cooker grills, smokes, bakes, roasts, fries, and boils for a limitless menu of gourmet meals in the great outdoors. Weighing just 8 pounds, the cooker is great for fishing, picnicking, tailgating, boating, hiking, and beach cookouts where rolling the conventional grill from car to cook site just won’t work. Healthy, smoke-free and very safe, the smoker’s exterior remains cool to the touch–even with cooking temperatures up to 500 degrees F. With unsurpassed cooking efficiency, the grill burns for up to three hours on just eight to ten briquettes, which means less weight on the trail and less bulk in trunk. Dishwasher-safe stainless steel means easy cleaning, corrosion resistance, and good looks. Awarded one of Time magazine’s best inventions of the year for 2001, plus continued accolades from owners year after year, this is the perfect cooker for the road, patio, worksite, or hurricane kit.
What’s in the Box
Stay-cool base, fire grid, dome top, non-stick grilling surface, lifting handle, carry bag.
Cobb Premier BBQ Cooking System Includes stainless steel stay-cool base, fire grid, dome top, non-stick grilling surface, lifting handle, and carry bag. Dishwasher safe. The Stainless Steel stay-cool base offers all the features of the Classic Cobb but with a high-end look of steel. Grill, Smoke, Bake, Roast, Fry and Boil with the Premier Cobb BBQ Grill & Cooking System. This is the complete solution, everything you need for the ultimate portable charcoal grill and weighs only 8lbs. The exterior remains cool to the touch while the interior cooks at up to 500 degrees. The perfect addition to your hurricane kit.
The first sign is the fact Bill Gross, head of the world’s largest bond fund (PIMCO), has just sold all his domestic government bond holdings. Every single dollar.
The next “tell” of economic disaster is even more ominous. Wall Street insiders are startled at how much money the Fed is pumping into the financial system….
The next “tell” is that secretive Fed officials normally do not talk publicly about how bad things are. [But they are now.] …
The next “tell” is a recent housing study proving the housing market is actually worse off now than in the depths of the Great Depression. …
Other disastrous “tells” that financial Armageddon is upon us are new reports that the consumer confidence index just suffered the 5th largest drop in history, …