risk losing control. . . . Central banks in the United States and around the world must end their complacency and respond preemptively to the threat by monitoring inflation rates and undertaking aggressive monetization.”
Immediate action required of the ECB.
Desmond Lachman: “History is bound to judge harshly the European Central Bank’s current maintenance of a passive monetary policy stance in the face of markedly decelerating inflation.”
10 welfare reform lessons from New York City.
Robert Doar : “While my perspective is that of an insider, the facts speak for themselves: From 1995 until the end of 2013, New York City's cash-welfare caseload shrunk from almost 1.1 million recipients to less than 347,000 — a drop of more than 700,000 men, women, and children.”
Housing policies to combat homelessness.
Brad Wassink: “Housing assistance for low-income Americans is premised on a simple value that most Americans share: no citizen should go without a roof over his head. But policy has done a poor job of achieving that goal. As of January 2013, more than 610,000 Americans were homeless.”
Treat Fannie and Freddie exactly like a too-big-to-fail bank
Recognize them as the Systemically Important Financial Institutions (SIFIs) they indubitably are. Are Fannie and Freddie Too Big To Fail? Nothing could be more obvious. Are Fannie and Freddie systemically important? Nothing could be more obvious.”
More data needed on high-frequency trading.
Jim Pethokoukis: “The final cost-benefit analysis of
superfast, high-volume trading can’t be determined by competing claims of participants, nor in the compelling, character-centered narratives of bestselling authors. As much as anyone, Moneyball author Lewis should understand that data — and lots of it — is a surer guide for action than flashy anecdotes.”
In other news
NEW WORKING PAPER — Shops and the city.
Stan Veuger and Daniel Shoag: “Large retailers have significant positive spillovers on nearby businesses, and both private and public mechanisms exist to attract them. . . . We find no evidence that government subsidies affect the efficiency of these large retailers’ location choice.”
Even the president supports fracking.
Benjamin Zycher : “The economic benefits of this technological
revolution have been so large and so obvious and so popular politically that the Obama administration has found it necessary to voice support for fracking and its attendant expansion of energy supplies and employment.”
Dr. Murray’s guide to getting ahead.
Stan Veuger : “Murray starts out with straightforward advice on how to harvest the low-hanging fruit of not setting oneself up for failure. ‘On the Presentation of Self in the Workplace’ is the title of the first of four sets of lessons, and it is both the most practical and the most curmudgeonly part of the book. Don’t use the f-word all the time, or the word “like,” avoid facial tattoos, wear pants to work, that kind of stuff.”