Greek default, French banks, and…Newport Beach? PIMCO's Mohamed El-Erian is more than a little concerned: “The light should be flashing yellow, if not red, in Washington, D.C., and hopefully the IMF meeting can be the catalyst for getting to a common analysis and setting the stage for the G-20,” El-Erian said from Pimco’s Newport Beach, California-based headquarters. (Booomberg)
The Federal Reserve of Dallas wonders why the housing boom boomed so big in the 2000s: "The most recent house price and construction run-up exceeded levels recorded during the 1990s economic expansion, when unemployment rates fell even lower and income grew faster. Why is this? Standard econometric models accounting for these factors simply cannot explain the surging house prices and building seen in the mid-2000s." (Dallas Fed)
Arianna Huffington is ticked off that politicians can leap into action when a hurricane is bearing down on the East Coast but stall, stall, stall when it comes to attacking the dull, grinding crisis that is U.S. unemployment. A taste:
With the toll that the job crisis is taking on the lives of millions of people in this country -- from college graduates who can't get jobs to middle class families being thrown out of their homes -- this is a Category 5 disaster. In extreme cases, financial desperation has even been a reported cause in suicides. "We have noticed many more people mentioning the economy," said Eve Meyer, executive director of the nonprofit San Francisco Suicide Prevention, which has seen an increase in suicides on the Golden Gate Bridge. "We constantly hear, 'I'm going to be homeless; I would rather be dead than be homeless.'"