Posts Tagged ‘rent seeking economy’
Posted by Larry Doyle on September 17th, 2013 9:15 AM |
On a daily basis we now get fed less than comprehensive if not fully distorted views of the last 5 years by an array of politicians, industry sponsored economists, and assorted other puppets.
While the airwaves and other outlets are filled with much of this noise, let’s take a step back so we can get the wide-angled view as to what has really transpired within our nation and the global economy. To do so, lets check in with Sense on Cents Hall of Famer Simon Johnson who provided a prescient view as to what was — and is — really going across a wide swath of our economic landscape.
In a Sense on Cents “past is prologue” classic, Johnson wrote back in 2009 in The Atlantic: (more…)
Tags: crony capitalism, economic reforms, IMF economist Simon Johnson, rent seeking economy, Sense on Cents, Simon Johnson, sluggish economy, The Quiet Coup Simon Johnson, Wall Street-Washington incest, what bank reforms, why is the economy under performing
Posted in General, Simon Johnson | 3 Comments »
Posted by Larry Doyle on July 10th, 2013 7:49 AM |
Can we all agree that banks that are too big to fail, regulate, and prosecute are also too big to exist? That premise strikes me now as a foregone conclusion.
But how have the banks gotten bigger? It is not merely via the issuance of home mortgages, credit cards, corporate loans, and some derivatives transactions.
The new rent-seeking, market manipulating economy that is coming to define the American landscape is reflected in a host of other ways. Should we even call these institutions banks anymore? (more…)
Tags: breaking up the biggest banks, Federal Reserve, Goldman Sachs no longer just a bank, JP Morgan no longer just a bank, letter to Fed chair Bernanke June 27 2013, Morgan Stanley no longer just a bank, rent seeking economy, the banks own the world, the banks run the world, too big to fail trust regulate prosecute, Wall Street banks are just too big, what is rent seeking, why should big banks be broken up
Posted in General | 4 Comments »
Posted by Larry Doyle on June 21st, 2013 8:23 AM |
How will the history books treat Ben Bernanke? Well, only time will tell.
Supporters will tout his integral role in saving the system.
Those who look less kindly on the Fed chair will denigrate him for: 1) his participatory role in allowing Wall Street to bring our economy to its knees, and 2) providing excess liquidity for the well positioned to take advantage of a newly defined rent-seeking economy while the rank and file American public struggle to keep their head above water.
Perhaps he is deserving of both a measure of praise and derision, but let’s take a harder look at what he really accomplished — or not — depending on how you might view things. (more…)
Tags: Ben Bernanke, Ben Bernanke legacy, cost of quantitative easing program, costs of Federal Reserve QE, employment Bernanke, Federal Reserve, Geoffrey Godbey, hours worked, personal income, QE, rent seeking economy, unemployment Bernanke, what did Bernanke accomplish
Posted in Ben Bernanke, Federal Reserve, General | 7 Comments »
Posted by Larry Doyle on May 29th, 2013 5:22 AM |
Are we in the midst of the greatest transfer of wealth in modern times?
I will allow others to debate the merits of that question, but I propose it in order to address what I see increasingly as the “new normal” reality of our current economic condition here in the United States. What lies at the core of this new normal dynamic? A rent-seeking economy, defined as:
When a company, organization or individual uses their resources to obtain an economic gain from others without reciprocating any benefits back to society through wealth creation.
An example of rent-seeking is when a company lobbies the government for loan subsidies, grants or tariff protection. These activities don’t create any benefit for society, they just redistribute resources from the taxpayers to the special-interest group. (more…)
Tags: Barry Posner Penn State, definition of rent seeking, how does rent seeking develop, how does rent seeking work, how to define our economy in 2013, rent seeking, rent seeking and regulatory capture, rent seeking economy, rent seeking unearned profits, rent seeking Wall Street and Washington, Wall Street-Washington incest, what is rent seeking, why does rent seeking persist
Posted in Economy, General, Wall Street Washington Incest | 14 Comments »