Category Archives: Budget Deficit

COTD: President Trump’s Proposed Tax Reform

Posted on September 29, 2017 by macromon

Individual income tax makes up around 49 percent of the Unites States tax revenue, the single biggest position, according to inside.gov. Trump wants to simplify the tax code by bringing the number of income tax rates from now seven down … Continue reading →

Posted in Budget Deficit, Uncategorized | Tagged , | 3 Comments

Orwellian Monetary Policy

Posted on May 14, 2017 by macromon

“Tightening is Easing” Since U.S. monetary policy began tightening in December 2015, the Fed has added liquidity to the financial system through interest payments to banks on excess reserves and has reduced its surplus to the Treasury adding to the … Continue reading →

Posted in Budget Deficit, Interest Rates, Monetary Policy, Uncategorized | Tagged | 38 Comments

Quote of the Day: EU Policymakers on Hopium

Posted on June 12, 2012 by macromon

The primary strategy being pursued to prevent a further worsening of the situation is that of hope. And it is a strategy also being applied to the danger of further contagion. Greece, Ireland, Portugal, Spain: So far, European leaders have … Continue reading →

Posted in Black Swan Watch, Budget Deficit, Euro, PIIGS, Sovereign Debt | Tagged , , , | Leave a comment

Quote of the Day: Fiscal Barbells

Posted on June 6, 2012 by macromon

And to this we say,  AMEN! The right policy, which also happens to be the only one with any hope of being adopted in the foreseeable future, is a barbell approach, with more stimulus on one side and, on the … Continue reading →

Posted in Budget Deficit, Fiscal Policy | Tagged , , | 2 Comments

Euro Crisis: Lorenzo Bini Smaghi

Posted on April 19, 2012 by macromon

Lorenzo Bini Smagi,  former Member of the Executive Board of the European Central Bank, nails it, You call it austerity, i would call it putting your house in order. You can’t grow especially if you have a deficit which is … Continue reading →

Posted in Black Swan Watch, Budget Deficit, Eurozone Sovereign Spreads, Fiscal Policy, PIIGS, Sovereign Debt | Tagged , , , , , | 2 Comments

Government Gross Financing Needs

Posted on April 19, 2012 by macromon

The latest data from the IMF’s Fiscal Monitor.  Read it and gulp!  Then fire up the printing presses. Click on the tables to enlarge and for better resolution. (click here if tables are not observable)

Posted in Black Swan Watch, BRICs, Budget Deficit, Fiscal Policy, Sovereign Debt, Sovereign Risk | Tagged , , , | 1 Comment

The Fiscal Health of Nations: General Govt Balance

Posted on April 17, 2012 by macromon

The IMF is out with their Fiscal Monitor today.  Great stats.  Here is a comparison of the fiscal health of the world’s economies. Contrast Norway and Saudi (both oil exporters) with, say,  the U.S. and Japan.  Italy doesn’t look so … Continue reading →

Posted in Black Swan Watch, Budget Deficit, Economics, Eurozone Sovereign Spreads, Fiscal Policy, Sovereign Debt, Sovereign Risk | Tagged , , , , , , , , | 2 Comments

Markets Want More FED “Crack” – Harry Dent

Posted on April 4, 2012 by macromon

Harry Dent does a pretty good job in ‘splaining today’s risk sell-off, in our opinion. We’re beginning to sense, however, the markets are awakening to the fact the U.S. government is going to have a funding problem. As the world … Continue reading →

Posted in Black Swan Watch, Budget Deficit, Gold, Japan, Monetary Policy, Sovereign Debt, Sovereign Risk | Tagged , , , , , , | Leave a comment

Charlie Rose: Erskine Bowles and Alan Simpson

Posted on March 31, 2012 by macromon

Excellent discussion on the U.S. fiscal crisis with Erskine Bowles and Alan Simpson.  They were co-chairs of the National Commission on Fiscal Responsibility and Reform, commissioned by President Obama in 2010 to identify “…policies to improve the fiscal situation in the … Continue reading →

Posted in Black Swan Watch, Bonds, Budget Deficit, Economics, Interviews, Politics, Sovereign Risk, State and Local Government | Tagged , , , | 1 Comment

Is the Bond Market’s Arab Spring Upon Us?

Posted on March 14, 2012 by macromon

Ugly action in bonds over the past few days. In last month’s post,  Is the Fed ready for the bond market’s Arab Spring?, we suspected the Fed needed more ammo to continue their repression of long-term rates.   Yesterday Mr. Bernanke … Continue reading →

Posted in Black Swan Watch, Bonds, Budget Deficit, Sovereign Debt, Sovereign Risk | Tagged , , | 1 Comment