Juggling Dynamite

Danielle was a guest today with Phil Mackesy on Talk Digial Network discussing recent trends in the world economy and markets. You can listen to an audio clip here.

Most of the world is focused on trying to get money. Too little is mentioned about how easy it is to lose money once obtained. Usually these lessons are learned the hard way. This clip is a good reminder.

“Celebrity bankruptcies are as common as celebrity divorces, and they’re a lot more mystifying. How can professional athletes and silver screen megastars go broke when they’re hauling in millions each year?

Check out our latest video demonstrating that multi-millionaires go broke for the same reasons the rest of us do: careless spending, unwise investing and family expenses.” Here is a direct link.

One of the greatest myths about monetary policy is the presumption that pumping liquidity into the banking system will drive lending, money velocity and a multiplier effect through the real economy. Businesses (at least wise ones) only borrow and invest in people and capacity when they see demand for their product or service. And global demand has been weak and weakening further over the past many months. This is the real reason that monetary policy and even relentless attempts at “quantitative easing” are not translating into economic growth.

This clip offers a lucid discussion of these issues in the UK context but is broadly relevant. Erik Nielsen, chief global economist at UniCredit SpA, talks about U.K. bank lending and Bank of England policy. Here is a direct link.