Category: economy

The Two Faces of Mortgage Debt – “Return to Creditor”

Return to Creditor There is an interesting headline in today’s (1/25/10) New York Times, “Huge Housing Complex in N.Y. Returned to Creditors”. [2]photo by Nicole Bengiveno/The New York Times – The Peter Cooper Village and Stuyvesant Town complex in 2006- borrowed without permission This article reports that Tishman Speyer Properties and BlackRock Realty defaulted (welched?)…

Controlling Gambling by Wall St. and the Big Banks – Bad for Business?

Anti-Wall St Does Not Mean Anti-Business President Obama’s proposals to break up the “too large to fail” mega banks and otherwise reapply the Glass Steagall Act to the financial sector has predictably brought loud complaints that this is populist and anti-business. Even the rhetoric of the reporters and expert talking heads reflects a general bias…

Book Review: Manias, Panics, and Crashes: a history of financial crises by Kindleberger

Manias,Panics,and Crashes by Kindleberger

Manias, Panics, and Crashes: a history of financial crises, fourth edition by Charles P. Kindleberger (New York: Wiley 6th edition 2011) A recent Wall St Journal article described this book as a “must read” classic for anyone involved in financial markets. I have been involved directly in financial markets in two ways recently. First, I spent…

Enron, Trust and Malfeasance

January 23, 2002 (revised 1/29/02) The collapse of energy giant Enron over the last six months has produced a surprising level of outrage especially for a cynic like me. As this drama continues to unfold, I have been trying to understand how Enron structured their business and made money. Until just last night I was…