Six Months of TARP

Though there hasn't been much activity in the past year- I'd like to try to jumpstart this page again a bit, and invite others to join in the conversation as well. I've found an article that's quite interesting, and details much of what the government has been doing in the last six months. It also gives a huge amount of detail into financial crisis' in the last centuary. In any case, here's the site: http://cop.senate.gov/reports/library/report-040709-cop.cfm

Welcome

I'm glad that there's been so much interest in economics at Ball State. I graduated this spring, and I hope that all of you will take this forum and others around campus to spread comprehension of our beloved field. If nothing else, economics continues to bring insight in to all parts of my life- It will for yours as well.

Till then,

James

there will be blood, among other things

The year's winding down a bit, but that doesn't mean there aren't a few things to take care of-

First off- we have another meeting this THURSDAY, APRIL 17TH AT 7PM IN WB 138. Hope to see you all there.

And for a treat, we're throwing an econ movie in the mix this Saturday, APRIL 19TH at 2PM in WB 152----

THERE WILL BE BLOOD- about a so-called "oil-man" who's quest for greed... well you'll just have to wait and see. Last year's Best Actor going to Daniel Day Lewis. I hope to see you all there, and perhaps you'll bring a friend or two.

WB 138

Our room number for tonight's meeting is WB 138. Hope to see you all there at 7pm!

Next meeting!

Our next meeting will be tomorrow, Thursday, March 6th at 7pm! Hope you can all make it. I'll be making another announcement for the exact room number ASAP.

Oh, and tell me what you think of the flyer!

~J.

Kickstart/ one view on stimulus pack.

A fun little question

Here are the parts:

Hypothetical;
1) We are slipping into a recession because people have slowed their spending habits (on the margin of course). The public has recognized this problem

Very real;
2) The house passed a stimulus package yesterday. While it has yet to go through the senate and the president it is still a fun debate. The house has decided giving people money will stop an economics slowdown.

The possible outcomes I am throwing out for debate;
1) Bernanke asked for it. why not?
2) Six hundred dollars and the "increased liquidity in the market" will "jumpstart" the economy. We avoid the economic downturn.
3) People don't spend it because they are afraid. 2008 is a year of increased unemployment and decreasing economic growth.
4) People spend every cent and it does not matter.
5) We aren't slipping into a recession.

Any other possible outcomes? Any thoughts on these?

Wow

That's about all I can say. Tuesday, Jan. 22, 2008 turns about to be a weird day....In an emergency meeting, the Fed cut the federal funds rate 75 basis points! Here's the link:

http://biz.yahoo.com/ap/080122/fed_interest_rates.html

It perhaps should be noted that Ball State University's Fed Challenge team noted an interest rate move to 3.5% over 2008. Of course, that data is a couple months old, and haven't done the analysis, but there may be even further rate cuts in the future.

Again, this is after the Bush Administration supported a $150 billion "stimulus" package for the economy... displaying the government's role/politics in dealing with our macro economy. For our meeting thursday I'd like to go over some of these new issues both through candidate rhetoric and what the Fed has said for its recent actions.

Aside from this, actor Heath Ledger died today. He seemed to be a pretty courageous person, and wish well to those involved with him. If you haven't seen any of his work, do yourself a favor and see him.

Until then, keep your eyes and hearts open.

James