Tuesday, October 14, 2008

Reads of the day

Some indicators for tracking the credit crisis (you know how I feel about LIBOR, but I have no problem with the rest)

While most economists critical of the original Paulson plan like recapitalizing banks, there is an important dissenter

My favorite Krugman post

Ice Age applied to bubbles, a la Krugman (my second favorite Krugman post, just reads like one of his brilliantly tractable models)- via Economist's View

Ian Ayres talks about what we still don't know about the subprime crisis and Shiller's The Subprime Solution(s) (see also my review)...

...While in a recent paper, Gary Gorton explains what we know (the best summary I've seen so far)

Speaking of Shiller, a recent WSJ article talks about his Graham P/E measure, named after Great Depression investor Benjamin Graham. Bob Shiller is a great student of economic history and is brilliant at bringing to light such things into light.

Dr. Doom continues to be pessimistic

How one of US Treasury's recently acquired toys can help value mortgage-related assets

Graph of the day: Factors adding to reserves and off balance sheet securities lending program (via The Big Picture)

A new paper shows that countries accumulate reserves as a precaution not for sudden stops but for "sudden flights"

This year's events have suggested that Bernanke may have been right on two important questions on the Great Depression, but Brad DeLong notes that he probably would have preferred to be wrong

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