Gongol.com Archives: October 2013
Brian Gongol

October 18, 2013

Business and Finance Mortage rates remain bargain-basement low, but rates paid on savings are even lower
Problem: Banks got into a lot of trouble a few years ago for not having enough capital, particularly when some of their loans went bad. Solution: They're trying to increase capital by spreading the gap between what they charge borrowers and what they pay to savers. But that, in turn, is locking up lots of money in the banks without actually making it circulate through the economy. And that's partially why we have a very low monetary velocity right now. Super-low. Which in turn is how the Federal Reserve can keep on trying to "quantitatively ease" the economy without actually causing any serious price inflation. The enormous -- titanic, really -- task ahead of the next Federal Reserve chair (presumably Janet Yellen) is figuring out when the monetary velocity corner has been turned, and then taking money out of the economy fast enough to prevent inflation but not so fast that it chokes off the economy. It's going to be one of the biggest challenges in economic history, and godspeed to her.

The United States of America "Competence and humility"
An endorsement for Joe Lhota in his run for mayor of New York City says he "possesses a refreshing combination of competence and humility." Those are two of the three most important things we can find in our public officials. The third is curiosity, and Lhota seems to be an intellectually-curious guy, as well.

Computers and the Internet Now presenting: Windows 8.1

Threats and Hazards Criminal teams are hiring computer hackers to facilitate drug-smuggling

Aviation News Give it two more years and we might have flying cars

Science and Technology Maybe early humans weren't a bunch of different sub-species after all

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