Is reserve currency status an economic blessing or a curse? The answer might seem obvious, as reserve currencies have been shown to confer lower borrowing costs on their issuers. But what of the borrower who, enticed by low interest rates, borrows more than they can pay back? Naturally the result will be a default. However, [...]
As I have done before on occasion, with this edition of the Amphora Report, I take a break from my usual doom and gloom and offer up an economic parable, this time for the summer holidays. I encourage interested readers to consider the morals of this story.
The Tale of Jack [...]
As with much of the euro area, the US is in a debt trap. All the politicking in DC does not change this economic fact. The federal debt is going to be devalued. Yet even now, amid a new economic slowdown, US consumer price inflation is set to remain positive following [...]
The Daily Capitalist welcomes new contributor John Butler of Atom Capital in London. John has 18 years’ experience in the global financial industry, having worked for European and US investment banks in London, New York and Germany. Prior to founding Amphora Capital he was Managing Director and Head of the Index Strategies [...]