Nobel economics winner says market forces flawed (Reuters)
One has to admit to being slightly annoyed by lines like this: "Professor Eric Maskin, one of three American economists to receive the award, said that he "to some extent" takes issue with free-market orthodoxy championed by U.S President George W. Bush and some other western leaders." Did he really say that? Or did the writer add the George Bush part? Or does professor Maskin really think that George Bush is an orthodox believer in free markets? Cause if so, is it too late to renounce his Nobel?
Bernanke Spots Relief in Markets (WSJ)
Ben Bernake says that the housing market will remain a major drag on the economy through, or at least into, 2008, but that income growth will prop up consumer spending. This is a little hard to believe, seeing as many homeowners will face the double whammy of declining home values and higher monthly payments, a truly sick combo. What kind of modest income gains could really overcome something like that. Also, just anecdotally, we were in our favorite Asian grocer last night, and we may have misheard, but he said something like business has been real slow lately. Put that in your beige book!
Crude Oil Rises to Record on Concern Turkey May Attack Kurds (Bloomberg)
So Turkey may attack the Kurds and crude oil jumps to a stunning $88/barrel. We're not totally sure what the connection is between Kurds and oil (do they really control that much), but no matter, this is quite something $88/barrel is damn expensive. At this point, $100 seems inevitable, although the impact of that mainly seems psychological more than anything else.
AOL to Trim 2,000 Jobs in a Continuing Overhaul (NYT)
In an effort to prepare for the wonderful growth opportunities that lay ahead, and to really leverage the great things it has going, AOL announced 2,000 layoffs yesterday, a long-awaited move that had been a virtual certainty for some time. This still leaves 8,000 in the unit, though another restructuring at the company can't be far behind. It never is.
Airbus finally delivers first A380 superjumbo in subdued ceremony (Mercury News)
In the end, Airbus got to market first with its long-delayed A380, while Boeing still faces delays on its next big product. A representative for Singapore Airlines said it was "well worth the wait".
Fox Business launches to lukewarm review (Reuters)
So yeah, FBN... it sort of sucked. That's too bad since, we've been anticipating this for like two years. Just watching that first five-minute clip, where they defined the word ADR, pretty much made us cringe. Hopefully they'll cut that stuff out... and fast. All told, it felt a lot like watching that old net program the Naked News. Just uncomfortable mainly. Here's to a better second day.
Mechanism Design for Grandma (Marginal Revolution)
An explanation, in English, of some of the Nobel prize winners' work. Good stuff.
Oracle Revamps Product Group (WSJ)
It's not quite as exciting as SAP losing wunderkind Shai Aggasi earlier this summer, but Oracle has announced a mangement shakeup, following the resignation of VP John Wookey. Interesting in that it comes amid a major acquisition attempt that's got some people calling this Oracle-PeopleSoft II. Speaking of this deal, interesting note in Dealbook yesterday saying that the company was going bank-less in this deal, using its own executive staff, who have lots of i-banking experience, to manage the process. Hopefully that won't become a trend, or maybe hopefully it will.