You'd think an economist would favor a cost-benefit analysis, but Nobel Prize winning economist Paul Krugman doesn't want to require the government to use an economic test in exercising its regulatory powers over U.S. businesses. So argues banking analyst Kurt Dew in a sort of debate over the MetLife court victory over the government's declaring it a systemically important financial institution. Dew warns:
"As the SIFIs are gradually seized up by the constantly increasing restrictions on their permissible activities, financial markets, and the economy as a whole do not go to sleep. Traders still find a way to position themselves to profit from their beliefs. Corporations still take risks in pursuit of profit."
And herewith a number of current links, a majority of which address market volatility in some fashion or another:
- A CFA presents an analysis of how to make $10 trillion, but attendees misdirect their attention.
- A technical evaluation as to whether the iShares MSCI USA Minimum Volatility ETF is suitable for your clients.
- A second analysis looks for value in low volume.
- And Columbia Threadneedle Investments says the name of the game today is the shift from maximization of returns to consistency of returns.
- Wells Fargo Asset Management on five investment styles have performed during volatile periods throughout history.
- Small business optimism drops to a new two-year low; business federation blames "bad government policy."
- Indeed, Lance Roberts describes an economy of sub-par growth, excess slack and a deflationary trend unameliorated by Fed liquidity.