Category Archives: State and Local Government

Question of the Day

Posted on June 21, 2011 by macromon

Market’s are priced for a G-Pap vote of confidence and will most likely celebrate with a relief rally.  But the 12 billion euro question is can G-Pap win over the Greek street?   If you believe it, run, don’t walk to … Continue reading →

Posted in Black Swan Watch, Sovereign Debt, Sovereign Risk, State and Local Government | Tagged , | Leave a comment

Governor Brown Vetoes “Greece on the Pacific” Budget

Posted on June 16, 2011 by macromon

Governor Jerry Brown just vetoed California’s budget, which was put together in haste last night so legislators would still receive their pay.  A ballot measure passed by voters last year meant that if lawmakers didn’t meet Wednesday’s deadline, their salaries … Continue reading →

Posted in Black Swan Watch, Muni Market, State and Local Government | Tagged , , | 1 Comment

Gov Moonbeam’s Update About “Greece on the Pacific”

Posted on June 14, 2011 by macromon

(click here if video is not observable)

Posted in Fiscal Policy, State and Local Government, Video | Tagged , | 1 Comment

U.S. Macro in Three Charts: Credit Flows

Posted on June 13, 2011 by macromon

The U.S. is suffering from insufficient aggregate demand the result of the bursting of the 2004-07 credit bubble.   The consumer led economy financed by borrowing, much of it backed by home equity,  has given way to massive private sector deleveraging … Continue reading →

Posted in Economics, Fiscal Policy, Monetary Policy, Sovereign Debt, State and Local Government | Tagged , , , | 3 Comments

Chart of the Day: Ownership of U.S. Treasury Debt

Posted on June 9, 2011 by macromon

This is hot from the latest Federal Reserve Flow of Funds data.   Foreigners own 47.1 percent of the $9.4 TN of marketable Treasuries outstanding at the end of Q1 2o11 with the Fed a distant second at 14.2 percent.   We’ll … Continue reading →

Posted in Fiscal Policy, Sovereign Debt, State and Local Government | Tagged , , , | Leave a comment

Chart of the Day: California’s Volatile Revenue Base

Posted on June 6, 2011 by macromon

The following chart is from the California Legislative Analyst’s Office (LAO) and is indicative of the state government’s unstable revenue base.   The government receives a higher proportion of its revenue from personal income taxes than most states, which is also … Continue reading →

Posted in Bonds, Budget Deficit, Chart of the Day, Fiscal Policy, Muni Bonds, Muni Market, State and Local Government | Tagged , | 6 Comments

U.S. Macro in Two Simple Charts

Posted on March 11, 2011 by macromon

To understand the U.S. economy go no further than the following two charts.  In 2009 and 2010, public sector borrowing was more than 100 percent of total net domestic credit flows.  Federal government borrowing was 93 percent of these flows.   … Continue reading →

Posted in Credit, Economics, Fiscal Policy, Monetary Policy, Policy, Sovereign Debt, State and Local Government | 4 Comments

Connecting the Dots: The Coming War Between Generations

Posted on March 1, 2011 by macromon

Almost everyday the newspaper headlines across the country warn of problems with local government budgets centered around public sector employee wages and benefits.  Today one read,  County Pension System Hits Tipping Point.  The other day it was how one city … Continue reading →

Posted in Budget Deficit, Currency, Demographics, Dollar, Economics, Employment, State and Local Government | Tagged , , , , | 11 Comments

“Fort Sumter” Opens Fire: Battle for the Public Sector Is On

Posted on February 11, 2011 by macromon

The battle for the public sector is on.  The Governor of Wisconsin just announced what amounts to be the abolishment of public sector unions in his state.   What an incredible contrast of the health of the private sector x/banks, reflected … Continue reading →

Posted in Bonds, General Interest, Muni Market, State and Local Government | Tagged , , , | Leave a comment

States of the Union: Califoreclosia, Creditcutt, & New Yoke

Posted on January 27, 2011 by macromon

The Economist rips President Obama for failing to address the country’s real problems.   This week’s cover, just out, is very creative and quite amusing.  The Economist renames every state in the Union with a debt related pejorative.   This must … Continue reading →

Posted in Fiscal Policy, General Interest, State and Local Government | Tagged , | 5 Comments