The trust that wasn’t

By: Paul Cella (Diary)  |  June 10th at 07:51 AM  | 

I anticipate that we will see more and more court decisions like the one described here by Yves Smith. The mortgage industry, in connivance with bankers and financiers of all shapes and sizes, introduced into the political economy, by means of innumerable frauds and sophistries, a whole field of unhedged risk: namely, the risk that the documents do not demonstrate what the securities confected out | Read More »

Some hard questions on political economy

By: Paul Cella (Diary)  |  November 12th at 10:55 AM  | 

Perhaps the simplest way to describe the difference is to say that if you’re in business enterprise, you’re exposed to very high risk of failure and bankruptcy, while if you’re in finance capitalism, you’re protected from such risks by means of an astonishing proliferation of machinations and arcane subtleties. What if virtually every variety of debt security were still overvalued? What if, to put it | Read More »