By Mary Theroux | Thursday June 23, 2011 at 11:30 PM PDT | 1 Comment
In the continuing revolving door between industry and its government regulators, the Wall Street Journal yesterday reported on the $13 million Congressional staffers earned from their former private employers, companies they run or other side jobs in 2009. Further, ethics rules “permit the vast majority of [Congressional] aides to have financial ties to companies...
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Tags: Budget and Tax Policy, Business, Corporatism, Corruption, Mercantilism, Money and Banking, Morality, Power, Regulation, Transparency
By Robert Higgs | at 1:49 PM PDT | 69 Comments
Since late December 2008, the bank prime lending rate—the interest rate banks charge their best corporate customers—has remained steady at 3.25 percent. Meanwhile, during the same period, the excess reserves that commercial banks hold at the Fed have increased from $2 billion in August 2008 to $1,513 billion in May 2011. Ordinarily, one would have expected...
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Tags: bank reserves, Basel requirements, Business, commercial banks, commercial loans, Economics, extreme risk aversion, Federal Reserve, federal spending, general price level, high-powered money, hyperinflation, Inflation, less-than-prime customers, macroeconomics, Money and Banking, New Deal, Obamanomics, prime rate, regime uncertainty, reserve balance