Bubble Trouble Part 1: Believing is Seeing

Developed world equity and bond markets (and currencies) look like they are in bubble territory, the US stock market in particular. This is in large part due to the distortionary impact of monetary emissions on a vast scale – so-called “quantitative easing” – and the widespread belief that this will go on for an undefined

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A Puritan Sin: US and now German Surplus Addiction

International monetary economics is a big turn-off for many readers. There are hardly any articles on the subject in the press (it doesn’t sell newspapers, most finance journalists don’t understand it well enough to write about it authoritatively and it mostly concerns gradually shifting imbalances rather than newsworthy events). The few articles that do appear

Allocating More to Perceived “Risky” Private Emerging Markets to Reduce Risk

Ever since Jevons and the marginal revolution in economics in the late nineteenth century there have been enormous benefits from quantitative techniques in economics and finance. Critics have warned, though, of the associated tendency to over-emphasise the importance of the measurable as compared to what is immeasurable or simply not measured. A high degree of