Tuesday, February 7, 2023

Links 2/7/2023

Brazilian President Lula da Silva Locks Horns with Brazil’s Richest Man, Jorge Paulo Lemann

In a rare turn up for the books, the head of state of Latin America’s largest economy just accused three of the country’s four richest men of engaging in blatant accounting fraud.

Scarring, Hysteresis, and Investment in Europe

Fiscal policy can play an important role in limiting hysteresis – a term coined in the 1980s – particularly by promoting government and private investment. However, the political economy of fiscal policymaking typically trades off long-term benefits for short-term gains

The US and the Philippines’ Military Agreement Sends a Warning to China – 5 Key Things to Know

So much for the Biden commitment to XI after a 2 1/2 hour phone call to improve relations…..

2:00PM Water Cooler 2/6/2023

~ Today’s Water Cooler ~

Preparing for the Next Winter: Europe’s Gas Outlook for 2023

The EU pins its hopes to LNG.

Links 2/6/2023

The West Makes Serbia an Offer It Can’t Refuse

Unable to inflict their desired amount of damage on Russia, the EU and NATO are aiming for a consolation prize: Serbia. 

The Economics of the Ukraine Proxy War with Michael Hudson and Radhika Desai

A meaty discussion of the broader implications of the war in Ukraine.

Rain and Heat, Fire and Snow: Life in a Destabilized California

Climate change and California are not getting on very well.

Links 2/5/2023

Chinese Spy Balloon Over the US: An Aerospace Expert Explains How the Balloons Work and What They Can See

Balloon details from an aerospace engineer.

US Fails Miserably in Efforts to Isolate Russia

Victoria Nuland is a loser as even the newspaper of record admits defeat.

Links 2/4/2023

James Galbraith: The Quasi-Inflation of 2021-2022 – A Case of Bad Analysis and Worse Response

Galbraith explains why conventional views of inflation are a particularly poor fit for recent price increases and produced bad policy