Salient to Investors: Gary Shilling writes: The pessimistic economic theories are wrong. Weak growth will NOT last forever despite the Reinhart-Rogoff findings that the economy contracts at a 0.1 percent annual rate when government debt exceeds 90 percent of GDP. In the late 1970s and early 1980s many economists presumed
READ MORE... →Salient to Investors: Fareed Zakaria said: Japan desperately needs real reforms that open up the economy and make it more friendly for business. The Economist says a Japanese company has to actually go out of business to be able fire any of its workers. Japan is 134th out of 144
READ MORE... →Salient to Investors: Niall Ferguson at Harvard said: The West is in decline cause by political and economic stagnation and the US and Europe institutions that are degenerating include democracy, regulation, the rule of law and justice, and civil society. Non-Western countries are improving their economic and political institutions and
READ MORE... →Salient to Investors: Brett Arends writes: It is not clear if high debt levels lead to slower growth, or result from slower growth, or that the two have only a loose connection, but we cannot borrow and print money indefinitely with no consequences whatsoever. Rogoff and Reinhart got their math
READ MORE... →Salient to Investors: Handing monetary policy to independent central bankers appears to have worked. The Cleveland Fed says markets expect US inflation over the next 10 years to stay below 1.5 percent, while the IMF expects below 2 percent in advanced economies and 6 percent in emerging markets for the
READ MORE... →Salient to Investors: Fareed Zakaria said: Outsourcing jobs to ensure a company’s survival is acceptable and is how you run a business. America needs and already has a tax and regulatory structure that creates strong incentives for private businesses to flourish. The great shift in the U.S. economy over the past
READ MORE... →Salient to Investors: Professor Niall Ferguson at Harvard said the key negotiators, including Merkel, do not understand that the timeframe for financial crises is days, for structural reforms is years. Merkel has to realize that the cost of disintegration to Germany would be mind-blowing, and whatever happens, Germany pays – either through massive defaults or fiscal transfers. Read
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