We’re all familiar with the so-called “run on the bank.” It usually begins quietly with just a few depositors getting nervous about the solvency of the bank. They line up to get their cash out before the bank closes its…
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In my view, the rout in EM currencies is due for a sharp technical reversal. To understand this coming EM currency rally, we need to understand some fundamentals about foreign exchange markets in general. After decades of studying stock markets…
If you have defective and obsolete models, you will produce incorrect analysis and bad policy every time. There’s no better example of this than the Federal Reserve. The Fed uses equilibrium models to understand an economy that is not an…
