Moody’s to downgrade large banks
FROM THE NYT DEAL BOOK BLOG: If true, this is an important step by the market to correct for false advertising. One question is whether it will make a difference…
Does the Affordable Care Act create more part-time work? 2 perspectives
One of the objections to the Affordable Care Act is that it will encourages employers to cut employee hours to create more part time work in order to avoid the…
SEC takes harder line against fraud
The Securities and Exchange Commission signaled it was taking a harder line on Wall Street’s rampant problem with fraud by extracting its first admission of wrongdoing from Philip Falcone, CEO…
Cisco cuts 4,000 jobs despite better than expected quarterly earnings
The nation’s largest computer infrastructure company today announced it would cut 4,000 jobs, representing 5 percent of its workforce, citing the challenge of global competition as reason to reorganize despite…
DOJ stands up to corporate greed
In back to back announcements the Department of Justice signaled it was standing up to unrestricted corporate business practices on Wall Street. Yesterday, the DOJ said it would bring criminal…
Despite huge losses banks continue subprime mortgage securities fraud
There is an interesting article in today’s New York Times business blog about the reverberation of subprime mortgage securities that are still being peddled by banks and financial institutions. Below…
BART strike postponement nears end, Governor considers extension
BART and its unions are at the negotiating table today in an effort to settle the ongoing labor dispute that has caused transportation disruptions in the Bay Area since last…
Rethinking home loans without regulation means a repeat of crisis
Update: Thursday, August 9. Today Fannie Mae announced a quarterly profit of $10 billion and projected profits for the foreseeable future. When this dividend is paid, Fannie will have repaid…
Economists worry financial lessons from last recession are ignored
There is an interesting article in today’s New York Times by Adam Davidson of NPR’s “Planet Money” that explores both sides of the economic spectrum about whether more or less…
Hidden tax on expensive health care coverage may hurt public workers
Under the Affordable Care Act (ACA) many states that see the wisdom of compliance are setting up health insurances exchanges, but under a little known provision called the “Cadillac Tax,”…