To sell or rent?
Take a look inside the mind of a BTL gambler.
With inflation looming, the ECB has tough choices ahead
I am sooooooo sick of articles like this one. Apparently, the central banks have to figure out where to keep interest rates. If the rates are too high, then growth suffers, if they are too low; then inflation remains elevated.
That is not the choice. Central banks have to decide whether to maintain their counter inflationary credibility in the face of powerful political forces that actually want more inflation. This "powerful political forces" includes debtors and bankers, who want and need to destroy the real value of debts. Or do they want to stop inflation, maintain the real purchasing value of paper money and so favour savers.
Economic growth, in the long run, has nothing to do with the nominal price of money, which is of course, what central banks set.
Subprime: it is not over yet
More from the shindig at Jackson hole
"It was clear from what was said that most people here don't believe the financial crisis is necessarily over or close to being over" - Stanley Fischer, head of the Israeli central bank.
US home sales: up or down?
It sounds like down to me:
"Existing-home sales (Seasonally adjusted) rose 3.1% to an annual rate of 5.00 million units in July, from a downwardly revised level of 4.85 million in June. These are 13.2% percent lower than the 5.76 million-unit pace in July 2007."
FBI Blamed For Mortgage Mess
There is no shortage of institutions who sat around doing nothing when they should have acted.