Oct 21 Why are we not focusing on stimulating consumer spending? Question/Comment: Hello, Paul. I am certainly no economist (as my question will show), but I learned in business school (to my surprise at the time) that two-thirds of GDP is the result of consumer… Continue reading
Oct 15 A response to viewer questions and comments on my segment about Los Alamos, N.M. I received many responses on my segment on Los Alamos, N.M. the other night. I wanted to respond to some of them. No names are used because the emailers wrote to the NewsHour, not this page. There were several… Continue reading
Oct 15 If the stock markets of the world all drop 10-20 percent simultaneously, are we as Americans significantly worse off? Question/Comment: Would you please clarify something for me that I am struggling to understand? If the stock markets of the world all drop 10-20 percent simultaneously, are we as Americans, or any other nationality, significantly worse off? If, relatively speaking,… Continue reading
Oct 14 It seems to me that FDR may have saved the traditional banking system. What do you think? By Business Desk Question: First, it seems to me that FDR saved the traditional banking system. I’ve checked the account of the plan they came up with during the “bank holiday” in the second Schlesinger book and… Continue reading
Oct 11 Is it time to admit that the world is already in a recession? Question/Comment: Over the past few weeks, we have gone to extreme measures to save economies around the world. Treasuries and central banks to date have used multiple tools to ease this crisis such as, lowering Interest rates, pumping billions of… Continue reading
Oct 11 If the amount of $62 trillion is owed for credit default swaps, who or what entity eventually pays that? Question/Comment: If the amount of 62 trillion dollars is owed for credit default swaps, who or what entity eventually pays that? Not even the U.S. government can make up for an amount which is 13 times our… Continue reading
Oct 11 Isn’t much of the $55 trillion dollar market made up of hedge funds and other institutions betting that bonds and other debt products fail? Question/Comment: I watched your piece on credit default swaps, which was illuminating but I think missed one point. Isn’t much of the $55 trillion dollar market made up of hedge funds and other institutions betting that bonds and other debt… Continue reading
Oct 10 What would you do with your money if you had a high tolerance for risk? Question/Comment: If you had a high tolerance for risk, and you had a mutual fund, which you purchased in one lump sum, and it was down 33 percent, would you put more money into it to make it more like… Continue reading
Oct 10 Did anyone ever propose regulation or restrictions on credit default swaps? Question/Comment: Excellent report on credit default swaps. Did anyone, Congress or the Administration, or the Clinton Administration, ever propose any regulation or restrictions on these financial instruments? Paul Solman: Ah, regulation. The “genius” of these contracts was that they functioned… Continue reading
Oct 09 A response as the markets close below 9,000 for the first time in five years. By Business Desk Paul Solman: This afternoon’s question comes from the steward of The Business Desk who wrote, moments ago: “I don’t know how you feel about this, but I thought maybe you could do another response to the day? The market just… Continue reading