Financial Folly

by Alain Sherter - August 11, 2011

A new study suggests that sharp government cut-backs cause an upsurge in social unrest. Could it happen in the U.S.? You bet.

by Alain Sherter - August 10, 2011

French government officials are in a panic over signs that financial contagion is infecting the country's banks. Too bad their antidote -- austerity -- will make things worse.

by Alain Sherter - August 10, 2011

From the risks posed by a Bank of America collapse to Standard & Poor's outsized influence, it's clear little has changed since the financial crisis.

by Alain Sherter - August 9, 2011

The central bank's outlook for the U.S. economy is darkening, dimming hopes for a second-half recovery. What is the Fed doing about it? Not much.

by Alain Sherter - August 9, 2011

Polls conclusively show that most Americans support raising taxes on top income-earners as a way to cut the deficit. Class warriors? No, just sensible.

by Alain Sherter - August 8, 2011

If U.S. Treasuries are riskier than they used to be, then so is the sovereign debt of large European countries. That could make a bad situation even worse.

by Alain Sherter - August 4, 2011

With the Greece bailout failing to halt contagion, investors are turning on the eurozone's larger economies. If Italy blows, watch out.

by Alain Sherter - August 4, 2011

The bipartisan congressional panel charged with finding spending cuts should--but won't--consider tax increases.

by Alain Sherter - August 3, 2011

Deficit hawks convinced that federal spending cuts will boost the U.S. economy should should look at the harm austerity measures have caused at the state level.

by Alain Sherter - August 2, 2011

So-called discretionary spending is slated to be slashed---which means cutting R&D;, environmental protection, jobs training and all the other things an economy needs to grow.

by Alain Sherter - August 2, 2011

Deep spending cuts in the U.K. have failed to ignite growth, while a similar program has yet to halt the sovereign-debt crisis in the eurozone. Why are American officials so eager to follow suit?

by Alain Sherter - August 1, 2011

Might the credit raters demote U.S. credit to AA despite the debt-ceiling deal? Sure. But that won't wreck the economy, and frankly we have bigger things to worry about.

by Alain Sherter - July 31, 2011

An agreement by congressional leaders to raise the government's borrowing limit may sidestep another economic crisis. But only for now, and largely on the backs of average Americans.

by Alain Sherter - July 29, 2011

U.S. lawmakers remain on a collision course over the debt ceiling. Buckle up, everyone.

by Alain Sherter - July 29, 2011

The government's latest economic report is dire, quashing hopes for a strong recovery in the second half of the year. What's driving the decline is no mystery.

by Alain Sherter - July 28, 2011

As the theatrics over the debt-ceiling continue in Washington, recent economic indicators suggest growth is slowing.

by Alain Sherter - July 28, 2011

A recent analysis of online job ads show that employers are screening out people who are out of work. That's not only bad for the economy -- it's just plain wrong.

by Alain Sherter - July 27, 2011

A growing number of economists and market analysts predict that credit rating agencies will downgrade America's once gold-plated debt. The impact that would have is hard to gauge.

by Alain Sherter - July 26, 2011

The hedge fund titan says new federal rules are driving him to scale back his investment activities. But that may be only part of the story.