March 30

“Everything you need to know to navigate today’s economic debate.”

Banking on Hypocrisy (Politico)
Elizabeth Warren issues an ultimatum: banks or families–read her argument for consumer protection in this Politico op-ed.

The Chinese are Coming! The Chinese are Coming! Oh my! (NewEconomicPerspectives)
Braintruster L. Randall Wray discusses the paranoia surrounding the federal budget deficit and Chinese-owned American debt.

Credit is Dead. Long Live Cash! (Newsweek)
Dan Gross tracks the increasing reliance on cash among businesses and families.

Subprime Debt Rallies as U.S. Enhances Loan Aid: Credit Markets (Bloomberg)
Subprime-mortgage securities are rising at an accelerating pace as the U.S. begins to encourage reductions to homeowners’ balances, which may lead to fewer foreclosures and a quicker end to the housing slump.

State Debt Woes Grow Too Big to Camouflage (NYT)
California, New York and other states are showing many of the same signs of debt overload that recently took Greece to the brink - budgets that will not balance, accounting that masks debt, the use of derivatives to plug holes, and armies of retired public workers who are counting on benefits that are proving harder and harder to pay.

U.S. Treasury Plans to Sell Citigroup Common Shares in 2010 (Bloomberg)
Citigroup Inc.’s largest shareholder, the U.S. Treasury Department, is planning to sell its 27 percent stake this year in what could become the biggest profit for the bank-bailout program.

Where’s the Boss at Rescued Firms? (WSJ)
The chief executives of some of the nation’s most troubled companies-those bailed out by the U.S. government-don’t report to work many days at corporate headquarters. This piece explores the lax lifestyle of a bailed-out CEO.

Consumer Spending Increases in February (WaPo)
Consumers kept their wallets open for the fifth month in a row in February even though their incomes remained unchanged, according to government data released Monday.