Daily Digest

Daily Digest 2/26 - Too Big To Jail, Student Loan Debt By School, Large-Scale Hawaiian Sea Urchin Die-Off

Sunday, February 26, 2012, 12:03 PM
  • Why Are Harvard Graduates In The Mailroom?
  • Student-Loan Debt, School by School
  • Given Greek Deal, Investors May Reconsider Sovereign Debt
  • Too Big To Jail
  • Berlusconi Gives Signs That He Will Be Convicted
  • Large-scale die-off of sea urchins discovered off Kaumakani

Follow our steps to prepare for a world after peak oil, such as how to store & filter water

Economy

Why Are Harvard Graduates In The Mailroom? (jdargis)

When it’s time to choose who gets the top job or becomes partner, managers subsequently have a lot more information to work with. In the meantime, companies also get the benefit of several years of hard work from determined young people at below-market pay. (Warner Brothers pays its mailroom clerks $25,000 to $30,000, a little more than an apprentice plumber.) While far from perfect, this strategy has done a pretty decent job of pushing those with real promise to the top. Barry Diller and David Geffen each started his career in the William Morris mailroom.

Student-Loan Debt, School by School (jdargis)

The map below draws on data from the New America Foundation's Federal Education Budget Project, and details the debt loads at more than 1,800 four-year colleges and universities.* State-level averages are color-coded by quintile in the map; click on any dot to find details for a particular school, or use the slider to filter by percentage of students taking out loans. For more details on the data used here, please see the fine print below.

Given Greek Deal, Investors May Reconsider Sovereign Debt (jdargis)

More than 97 percent of the outstanding bonds of Spain, Italy, Portugal and Belgium are governed by local law. In theory, these countries could enact legislation similar to Greece’s and thus pass on the cost of reducing their debt to well-heeled bondholders, rather than to retirees and civil servants.

“When push comes to shove, a government will always favor the interests of its domestic population over foreign creditors,” said Ajay G. Jani, a portfolio manager at Gramercy, an investment firm that is based in the United States and was involved in the restructuring negotiations in Argentina.

Too Big To Jail (jdargis)

The Obama administration and its allies have worked hard to sell its settlement with the banks as one that will have a meaningful impact on the housing market. But nothing could be further from the truth. As Kelleher points out, the United States has “more than 10 million homes under water” (the outstanding mortgage exceeds the house’s value). “Twenty billion dollars doesn’t make a dent in that: one million homes at $20,000 loan forgiveness is it.”

Berlusconi Gives Signs That He Will Be Convicted (jdargis)

The case involves David Mills, who was found guilty of receiving money and was convicted in a separate trial in 2009 by two lower courts, though the case was thrown out in 2010 because the statute of limitations had run out. At a hearing in December, Mr. Mills said that his story that Mr. Berlusconi had paid him $600,000 was a fabrication because he wanted to avoid paying taxes on a fee from another client.

Environment

Large-scale die-off of sea urchins discovered off Kaumakani (thatchmo)

The cause of the Caribbean die off of urchins and coral was never determined, Works said, but what they do know is that urchins play a critical role in the health of coral reef ecosystems and that population crashes may have “important upstream consequences.” Urchins are grazers that keep the algae at bay and a food source for other marine creatures.

Article suggestions for the Daily Digest can be sent to [email protected]. All suggestions are filtered by the Daily Digest team and preference is given to those that are in alignment with the message of the Crash Course and the "3 Es."

6 Comments

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4060
rjs's picture
rjs
Status: Gold Member (Offline)
Joined: Aug 8 2009
Posts: 445
Too Big to Jail - Simon Johnson

Too Big to Jail - Simon Johnson (corrected linkage)

Wendy S. Delmater's picture
Wendy S. Delmater
Status: Diamond Member (Offline)
Joined: Dec 13 2009
Posts: 1982
On PIGS on Drugs

http://www.zerohedge.com/contributed/pigs-drugs

An interesting article in the Swiss press this morning regarding the big Swiss drug companies, Roche and Novartis. Apparently the PIGS are not paying their drug bills. The numbers are big - billions. A sentence from the article:

Hospitals in Portugal, Italy, Greece and Spain are delaying paying for drugs by up to three years.


Three years??

Bruce Krasting, the author of the Zero Hedge article, says he was part of the problem (and part of the solution) for the Latin American debt crisis of the 80’s. He had a front row seat with each central bank as they went bust. Every effort was made to kick the financial can down the road. In the end, it all blew up.

For every country, the death march was the same. When big trade creditors finally balked, and said, “No mas IOU”, debt default followed within weeks.

VeganDB12's picture
VeganDB12
Status: Platinum Member (Online)
Joined: Jul 18 2008
Posts: 731
George Osborne: UK has run

George Osborne: UK has run out of money

The Government 'has run out of money' and cannot afford debt-fuelled tax cuts or extra spending, George Osborne has admitted.

http://www.telegraph.co.uk/news/politics/9107485/George-Osborne-UK-has-r...

 

Safewrite

Interesting article, I wonder how Novartis and Roche et al.  will make up a 20 billion dollar loss?

Thank goodness medicare part D allows for such flexible pricing of drugs (sarc. off)......

D

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
Gold/silver ratio.

On the live Kitco quotes Silver is now 50.5 to 1. Here are the Gold silver ratio graphs.

The twenty year trend is noisy but there does not appear to be anything untoward about the ratio.

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