Economics articles in relatividad.org and bolseando2 translated to several languages
Tras su famoso “;Españistán”;, Aleix Salo delights us with a new book, and especially with a new video-comic about the economic crisis of Spain.
Esta vez se trata de “;Simiocracia”;, that tells us about the sufferings of the Spanish economy since 2008, when the housing bubble burst, hasta ahora. ; Enjoy the video and do not forget to review the previous: ;Españistán
Does that the Spanish economy does not end out of the hole and the German Yes?
Diving in the website of the Ministry of economy and finance are found interesting graphics that help us to understand it. Let's look at one.
ESPAÑISTAN, The housing bubble and the Spanish crisis in comic version, by Aleix Salo
Aleix Saló prepares the release of a comic strip set in the Spanish real estate bubble and the subsequent crisis that Spain has suffered since 2008.
For its launch has created a very interesting video that illustrates the process lived in Spain, and that in 2011 it is still suffered.
Enjoy the video:
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And if you want to download the video, I recommend you to follow the next instructions for download videos from firefox.
En Cotizalia ; Kike Vázquez delights us with a post about productivity, that I liked so much that I'll copy it here:
I do not know if you happen to everyone but to me that about productivity that is talked so much not just stay clear to me. They say that we are working little, that we are lazy, that we have to lower our salary by 25% to start being competitive or "to work a little more and earn a little less" according to other sources. Go, well, we are so cheeky the Spaniards?! Fortunately, they warn, because to today I went out with confidence into the street without fear of being extorted by any of these hazardous man…
Continue reading “About productivity in Spain and other European countries”
The Austrian theory of the business cycle (ATBC) was developed by economists from the Vienna school, including F.A. Hayek and L.V. Mises. It explains the relationship between bank credit, economic growth and massive investment errors that was accumulated in the bullish phase of the cycle, bursting with the bubble and destroying value.
It argues that a expansión “;artificial”; of the credit, i.e., not supported by previous voluntary savings, tends to increase investment, since relative prices have been distorted by the greater mass of money circulating in the economy. These investments, that had not been undertaken without the aforementioned distortion, overuse accumulated capital goods, and sooner or later the artificially low interest rates are arranged in their true level of market, usually very Continue reading “Austrian business cycle theory”
The money can be created, as I indicated, and can be destroyed. I do not mean to burn banknotes. Merely to repay a loan is a destruction of the virtual money involving own debt. If I sign a promissory note and others used this promissory note as payment, the promissory note is money. If I cancel the debt of the promissory note, the promissory note ceases to exist, the money disappears from circulation. Both money existed in the time before my payment, the promissory note and my money, and when cancelled it ceases to exist the promissory note. Destruction of money.
MONEY AND MONEY CREATION (How to do)
Money in today's world is pretty confusing. It is not gold. It is not even a right to you receive gold. It is simply "buying power". Whether it is a paper-currency or a point in your bank account, what it represents is your purchasing power.
Why central banks are so obsessed by inflation. Its primary mission has become to get that the money in circulation remains reasonably its purchasing power. If there is high inflation, then the purchasing power of our money decreases rapidly and the money ceases to have value; and everyone is looking for an alternative, other currency, property, gold, whatever that were not loosing "purchasing power" in the market.
I copy & paste a comment from Vanitatis, where I found the first reference, to the video. Continue reading “The subprime crisis explained in British humor”
In March was Bear Stearns. Now, in september 2008, Lehman Brothers.
Entonces escribí un artículo titulado “;the bankruptcy of the year“;, but the year was not yet over and is the turn to Lehman. In addition, Merrill Lynch has been purchased by Bank of America, It seems a covert rescue operation, as Merrill also entered the bets on the banks who were suffering most in the USA. Continue reading “Lehman Brothers bankruptcy, the second great bankruptcy of year 2008”
Bear Sterns went bankrupt and was bought by JP Morgan Chase at $2 a share.
If we take into account that a year before it was worth $150 per share, It is clear that it has been purchased at a symbolic price. About $200 million vs. over $20 billion a year ago.
The credit crisis that we have lived through and that the United States has lived through is to blame for the destruction of almost $20 billion worth of a large company. Continue reading “Bear Stearns, the first great bankruptcy of the crisis”
