On “Intimidation” (and a very short, truncated history on the Chinese diaspora in America)

At the risk of excessive navel-gazing, a commentary on what responsibilities Asian-Americans have in calling out China. An Econbrowser reader writes: [D]o I think Menzie is a China apologist? No. Do I think Menzie is thoroughly intimidated by China? Absolutely. But he is hardly alone in this. Nevertheless, there is a bigger picture. If China […]

Be Not Complicit

Senator Flake’s prepared comments announcing his resignation from the Senate (from CNN): Mr. President, I rise today to address a matter that has been much on my mind, at a moment when it seems that our democracy is more defined by our discord and our dysfunction than it is by our values and our principles. […]

Livin’ in a Shapiro-Stiglitz World

I have been wondering why so many seem to be indifferent to the plight of the unemployed. Sometimes, the attitude is not so much indifference, but rather irritation that the poor are exempted from the burdens of society (see e.g., [0]).

Here is a plot of the unemployment rate and the alternative unemployment rate including marginally attached and part-time workers.

The Prospects for Global Imbalances: A View from the IMF

Following up on recent posts ([1], [2], [3], [4], [5] [6]) Here’s another take on the prospects for resolving global imbalances, from Olivier Blanchard and Gian Maria Milesi Ferretti, “Global Imbalances: In Midstream?” Staff Position Note 09/29 (Dec. 22, 2009):

IV.B. Lower Global Imbalances in the Future

What will happen in the future depends on how long the factors we just listed will be in play [oil price decline, asset price busts, increase in home bias, the hit to durable consumption and investment goods demand].

Below is reproduced the IMF World Economic Outlook‘s October 2009 forecast for current account balances.

Investment advice for a wild market

Your retirement nest egg might have lost 40% of its value since this summer and 10% the last 2 weeks. What should you do? Here’s the advice I’ve been giving to friends who ask, as well as what I’ve been doing with my own portfolio.