Short Video about Financial Crisis

Nice done and neat video to introduce the current banking problem.

Import Certificates

Today I read this article written by Warren Buffet several years ago about his worries of US trade deficit, which is still substantial amount today. His solution is quite dramatic but not yet applied.

Joe The Plumber

After the final Presidential debate of 2008, Joe the Plumber become the natioanl celebrity.
Here is what happpened the other day. Tax is always an interesting economic issue.

Paul Krugman Wins Economics Nobel

Krugman getting the Nobel is a very interesting result amid current financial crisis.
His contribution is explained here and here.
Update: Krugman explains his own work. Edward Glaeser honors Krugman's work.

Messy Fannie Mae

Charles Duhigg had an in-depth report on the mess of Fannie Mae. For example, one paragraph says:

Whenever competitors asked Congress to rein in the company, lawmakers were
besieged with letters and phone calls from angry constituents, some orchestrated
by Fannie itself. One automated phone call warned voters: “Your congressman is
trying to make mortgages more expensive. Ask him why he opposes the American
dream of home ownership.”

Paul Romer and Gary Becker on Financial Crisis

Paul Romer had an insightful opinion about realists and fundamentalists on economy. In short, fundamentalists are against bailout while realists are supporting bailout.
Gary Becker is one of the realists. See his "We are not headed for depression" in WSJ.

Modern Finance 101 and Credit Default Swap

Here provides a neat chart of modern financial products.
60 minutes provides a good report on Credit Default Swap (CDS).

Sept. Madness

WSJ had a good and detailed article about what went wrong since Government let Lehman go.

Greg Mankiw posted this funny chart to highlight this Sept. madness.