Boots & Sabers

The blogging will continue until morale improves...

Category: Economy

EVs Aren’t the Savings You Think

Heh.

However experts are warning that it takes an average of six years to break even on a purchase – and it can take up to a decade for the premium to pay off.

 

Customers are also taking to social media to express their regret at their EV purchase, with difficulties tracking down charging spots and unexpected costs. So how long does it really take to save money on an electric car – and is it worth the price?

 

[…]

 

When it comes to fuel, electricity is generally cheaper than gas. On July 7, the average cost of gas in the US was $3.53 a gallon.

 

According to the Natural Resources Defense Council, the cost of charging an EV is equivalent to filling up a gas tank at roughly $1 per gallon.

 

Gas prices also tend to be more volatile than electricity prices, which have historically been more stable.

 

[…]

 

The calculator estimates that the electric car owner will save $1,404 a year charging their vehicle rather than filling up on gas.

 

By dividing the price premium on the EV by the estimated annual savings on fuel, it would take over eight years to break even on the purchase.

The article shares stories from EV buyers who have buyer’s remorse. I say shame on them for not doing more homework before buying their cars. I’ll say the same thing I’ve said for years… EVs can be an excellent option for some people and a terrible option for others.

EV discussions have become common with people I know. I’ll give two examples of people who have Teslas and love them. Both are high-income people where the purchase price was not much of a factor. It’s more about the experience.

The first person lives in the Bay Area. He rarely drives for more than a couple of hours a day and has a charger in his garage. He commented that he can’t remember the last time that he charged in public. When he travels, he will generally fly if it is more than a 3 or 4 hour drive. He loves his Tesla and raves about the lack of maintenance required (oil changes, etc.) The Tesla simply has fewer moving parts to maintain. He did comment that it burns through tires rather quickly, but that’s a minor inconvenience.

The other person lives in Colorado. The person is single and travels a lot. The person likes his Tesla, but is annoyed by a few of the aesthetic features like the gull wing doors and the long windshield. This person works from home and doesn’t drive much, but occasionally goes on a long trip. In a recent example, the person drove from Colorado to Tulsa to Austin and back home. The travel time took twice as long as it would have in a gasoline car because of the time needed to charge. And in one example riding through the panhandle of Texas, the car almost ran out of charge before sliding into a station. To compensate, the person slowed way down. Overall, the person was annoyed with the travel time, but as a single person without a pressing reason to get back home, the extra time of travel was just that – an annoyance.

In both circumstances, the people like their EVs and are willing to put up with the inconveniences, and, more importantly, can afford to put up with the inconveniences.

In my own case, we do not own a garage or driveway in which to charge an EV. We would have to rely on public chargers. Also, we regularly take cross-country road trips (4 to 6 times a year) where we need to make the transit in a day or two to work around my work schedule. Owning an EV would be incompatible with our lifestyle.

This is where I would like the national conversation to progress. EVs are not morally or economically superior to gasoline vehicles (GVs). They are simply a different technology designed to complete the same task of personal transportation. The choice should center around lifestyle and preference instead of being some political or ethical talisman.

Who Pays for Misadventure?

It’s a good question.

“Five people have just lost their lives and to start talking about insurance, all the rescue efforts and the cost can seem pretty heartless — but the thing is, at the end of the day, there are costs,” said Arun Upneja, dean of Boston University’s School of Hospitality Administration and a researcher on tourism.

“There are many people who are going to say, ‘Why should the society spend money on the rescue effort if (these people) are wealthy enough to be able to … engage in these risky activities?’”

 

That question is gaining attention as very wealthy travelers in search of singular adventures spend big to scale peaks, sail across oceans and blast off for space.

 

The U.S. Coast Guard declined Friday to provide a cost estimate for its efforts to locate the Titan, the submersible investigators say imploded not far from the world’s most famous shipwreck. The five people lost included a billionaire British businessman and a father and son from one of Pakistan’s most prominent families. The operator charged passengers $250,000 each to participate in the voyage.

 

“We cannot attribute a monetary value to Search and Rescue cases, as the Coast Guard does not associate cost with saving a life,” the agency said.

 

While the Coast Guard’s cost for the mission is likely to run into the millions of dollars, it is generally prohibited by federal law from collecting reimbursement related to any search or rescue service, said Stephen Koerting, a U.S. attorney in Maine who specializes in maritime law.

 

But that does not resolve the larger issue of whether wealthy travelers or companies should bear responsibility to the public and governments for exposing themselves to such risk.

I rather agree with the Coast Guard’s stance. The vast majority of their rescues are not for wealthy adventurers, but for normal people who find themselves in distress – perhaps due to some negligence, but often due to unfortunate circumstances. All of their work is supported by tax dollars for the general good. I don’t really want our government to get in the habit of rendering vital services based on the ability of the recipient to reimburse. While some might get frustrated with the expensive rescue of wealthy people who take extraordinary risks, the action of forcing reimbursement would likely have the opposite of the desired effect. If the Coast Guard can get paid for rescuing rich people, who is to say that they won’t allocate more resources to that effort than rescuing less affluent people? Does not a public university (another taxpayer funded institution) lavish more access and resources on their wealthy students than on middle class ones?

Whenever money changes hands, an incentive is created. I don’t think we want our Cast Guard to be incentivized to allocate scare resources based on the recipients’ ability to pay instead of their risk of life.

Demographic destiny

I’m still out, but here is my column that ran in the Washington County Daily News this week:

If, as the axiom goes, demography is destiny, then Wisconsin is facing a troubling economic future. A recent study by the WMC Foundation titled, “Wisconsin’s Demographic Dilemma” highlights the troubling trends that threaten Wisconsin’s current and future prosperity.

 

According to the study, Wisconsin’s population grew by 3.6% between 2010 and 2020. That is less than half the rate of the national average population growth rate of 7.4% over the same period. Even more troubling, Wisconsin actually lost population between 2020 and 2022. It was only a loss of 1,186 people, but that is a trend in the wrong direction when the United States grew by 1.8 million people over the same period according to the U.S. Census Bureau.

 

Further exacerbating Wisconsin’s demographic destiny is that the population is aging. The national median age is 38.8 years old. Wisconsin’s median age is 40.1 years old. That may not sound like much of a difference, but Wisconsin is one of only 14 states with a median age older than 40 and is tied with Michigan with the oldest median age in the Midwest. An aging population means fewer people working and fewer younger people entering the workforce to support the government programs funding the social safety net. To put it in perspective, Wisconsin’s population in the 65-to-85 age bracket grew by a whopping 41.7% since 2010. Over the same period, Wisconsin’s population in the 5-to-17 age bracket declined by 2.2%. If these trends continue, the consequences for the state’s economy are severe. As of April of this year, Wisconsin has a labor participation rate of 64.8% as compared to 75% in the late 1990s. A full 10% of Wisconsin’s working- age people are opting out of work compared to 15 years ago at the same time that Wisconsin’s working-age population declined by almost 18,000 people between 2010 and 2020. Fewer working age people. Fewer working age people actually working. No wonder Wisconsin currently has about 2.4 job openings for every unemployed person in the state according to the latest data from the University of Wisconsin-Madison.

 

The reasons for Wisconsin’s shrinking and aging population are twofold. First, there has been a dramatic decline in the birth rate. Wisconsin is not immune from the national collapse of the birth rate being driven by cultural and economic trends that were accelerated by the pandemic. Meanwhile, people continue to die at normal rates. The net result is that people are dying faster than new people are being born, thus resulting in a steadily shrinking natural population.

 

Second, Wisconsin is on the negative side of domestic migration. For many years, older Wisconsinites have become snowbirds as they entered retirement and shifted their residences to states with warmer climates and lower taxes. With the advent of remote workers — another trend accelerated by the pandemic — many workingage people have taken advantage of remote work to move to warmer states with lower taxes. Meanwhile, fewer people are moving into Wisconsin from other states. The net result is another steady drain on the state’s population.

 

Offsetting the dual population drains of a natural population decline coupled with a net loss in domestic migration is an increase of international immigration into the state. Almost 12,000 immigrants from other countries found their way to Wisconsin to add to the population. That was not enough to offset the population drains, thus resulting in Wisconsin losing total population since 2020.

 

The consequences of a declining population are pervasive. As companies fail to find an available workforce, they will continue to look to other states to expand or move. As businesses leave, more people follow them, thus exacerbating the population decline. Fewer people means a decreasing tax base and fewer services or amenities to attract people. It is not quite a death spiral, but it is certainly a problem that will force years of unpleasant choices.

 

From a public policy perspective, there is not much that government can do to stem or reverse the declining birth rate. There are, however, public policy choices that would attract more working-age people and their families. The WMC Foundation’s report suggests a few policy recommendations, but they do not go far enough. It is a competitive country out there and Wisconsin is an afterthought when people are considering a move.

 

If state lawmakers are going to be serious about attracting more people to our wonderful state, they need to dramatically decrease the tax burden. Small changes will not be noticed. Nobody notices when another state lowers its income tax rate. They do notice when states eliminate the income tax. Wisconsin should use the budget surplus to mitigate the impact of eliminating Wisconsin’s income tax to attract high-income families to move to the state.

 

When those high-income families arrive, they will want great schools for their kids. Wisconsin’s reputation for great schools has faded as educational outcomes have eroded. In modern Wisconsin, less than half of kids read or do math at grade level. Wisconsin needs to dramatically reform schools to deliver the outcomes that Wisconsin’s kids deserve. That reform begins with universal school choice to allow the money to flow to the schools that work.

 

There are many other policies that should be done, but dramatic tax and education reform would put Wisconsin at the top of the list for the smart, mobile, high-income people that Wisconsin needs to secure its economic future.

Let kids work: Power of work yields lessons for lifetime

Yes, I’m still on vacation, but I wrote a couple of columns ahead of time. Check out my most recent colum from the Washington County Daily News.

Wisconsin Republicans have joined a widespread effort to ease child labor laws to allow more kids to work more often in more places. While advertised as a way to help ease the national labor shortage, it is the kids who will benefit most if the laws are relaxed.

 

Contrary to the squeals of opposition, nobody supports businesses exploiting child labor. Those who wear shoes and carry phones produced by child labor in other countries seem to be the most vocal about relaxing America’s childlabor laws, but no American wants child sweatshops in our nation. The proposals being discussed are targeted efforts to make it easier for more kids to work.

 

One bill in Wisconsin, for example, would allow servers between the age of 14 and 17 to serve alcohol. The current law prohibits anyone under the age of 18 from serving alcohol. We have all seen how this works in the real world. When dining at a supper club, the 17-yearold server brings everything to your table except the old fashioneds. The poor server has to have the bartender or an adult server to bring your drinks. This is a rule that has no purpose unless one thinks that 16-year-old servers would slurp customers’ drinks on the way to the table. This change in law would simply allow the server who is already working to carry alcohol 40 feet from the bar to the table.

 

Other states like Ohio are asking the federal government to allow students aged 14 and 15 to work until 9 p.m. on school days. Current laws prohibit them working after 7 p.m., which effectively eliminates the ability for these teens to work during the school week if they are involved in after-school activities. Busy, productive teens are often participating in after-school activities.

 

What we have seen in the past few decades is that people are beginning their working lives later and later. According to the Bureau of Labor Statistics, the median age of a worker in 2001 was 39.6 years. In 2021, it had risen to 41.7 years. It is projected to be 42.6 years in 2031. What is driving this is that older people are working to later in life while younger people are entering the workforce much later. The number of 16- to 19-year-olds in the workforce dropped from 7.9 million to 5.9 million between 2001 and 2021, and is projected to drop to 4.9 million by 2031. That is a 38% drop in teens working in a single generation.

 

Over the same period, the rates of mental illness, anxiety, depression, and suicides have all increased for teens. According to the Center for Disease Control, feelings of persistent hopelessness and suicidal behaviors increased by almost 40% among young people between 2010 and 2020. While there are many causes for the rise in troubled teens, it is not coincidental that more kids are feeling worthless and lost as fewer of them are working.

 

What too often gets lost in this discussion is that there is an intrinsic value in work that goes far beyond the benefit to the employer. Work teaches young people the value of individual effort, how to participate in a team for a common goal, and accountability for actions. Working at an early age teaches people basic work ethics like punctuality, how to follow directions, professional communication, and time management. It teaches kids how to function in an environment where they are not the center of the universe, how to be productive with unreasonable customers and bad bosses, and slacker co-workers.

 

The value of work is that it provides kids with a sense of selfworth, pride, and dignity that no amount of self-esteem puffery in school and home can produce. These are benefits that kids will carry within themselves for the remainder of their lives.

 

Ralph Waldo Emerson once opined that, “The purpose of life is not to be happy. It is to be useful, to be honorable, to be compassionate, to have it make some difference that you have lived and lived well.” One cannot be happy without feeling useful and valued. Relaxing the labor laws to allow more kids to get that feeling through work will lead to happier, more well-balanced, and mentally healthier adultis.

 

 

 

“Rainbow Capitalism”

Can’t win, eh. This is why I prefer companies that just keep their noses out of activism in any form. Sure, sell the merchandise targeted at the LGBTQ community, but just sell it like all of the other products. When you make a point of getting into activism, it cuts both ways.

Heather Hester told Fox Digital that Target’s reaction confirmed that the organization was ‘in this just for the money,’ and that the company’s recent actions are a ‘huge betrayal’ to the LGBTQ community.

 

‘Rainbow capitalism is essentially, you know, selling Pride products for profit and not necessarily standing behind the community with support,’ said Hester. ‘That’s what happened, right? There are a lot of things that go into that, but that is what happened at the end of the day.’

 

Target has lost market value since it viral videos showed its LGBTQ clothing – including ‘tuck-friendly’ gear – on sale in stores.

Crime Destroys Home Values

Yup

Other notable declines occurred in major metros like Austin, Boise, Salt Lake City, Seattle, and Los Angeles – all of which saw their median home price shed at least $60,000 since April of last year.

 

San Francisco and Oakland both saw price drops into six figures with the median value decreasing by $220,000 and $174,000 respectively.

I was speaking to a friend who lives in the Minneapolis area. She commented on how home prices in her town were still high with limited supply, but she knew of people moving out of Minneapolis proper who were losing their shorts on their homes. People are sick of the crime and are fleeing. Unfortunately, like what happened in Chicago, there are fewer and fewer people who care about crime living in these cities. What’s left are people who will continue to vote for Marxists who will continue to encourage the carnage with pro-criminal policies. The cities are in a death spiral.

The trap that we must avoid is to bail these cities out. They have made a choice. They should deal with the consequences. There is no rational reason for people who made better choices in other communities to send their hard-earned money to be flushed down the crime sewer.

Uber Diversity Executive Takes Leave Amidst Controversy

For the life of me, I don’t understand why companies think that it is their responsibility to use the workplace to correct society’s ills. They should certainly keep bigotry and hate out of the workplace (we call that “professionalism”), but why does Uber and other companies feel like they need to use their time and resources to address societal or cultural issues? Not only is it not their job, it is fraught with professional and market peril – like we see in this story.

CNN — 

Uber’s diversity chief is on leave from the company after criticism from some employees related to an internal panel called “Don’t Call Me Karen.”

Bo Young Lee, Uber’s chief diversity and inclusion officer, is on a leave of absence, Noah Edwardsen, an Uber spokesperson, confirmed to CNN on Monday.

Lee oversaw a series of sessions called “Moving Forward” at Uber that focused on issues around race, gender identity and class. One of the more recent sessions was titled, “Don’t Call Me Karen,” and focused on the experiences of a handful of women leaders, a person familiar with the matter told CNN. “Karen” is a slang term that usually refers to a middle-aged white woman with a strong sense of entitlement, often at the expense of people of color.

[…]

According to the New York Times, which was first to report the news, Black and Hispanic workers at Uber first felt that organizers of the event were focusing more on the harms caused by using the moniker “Karen” than the harms white people can inflict on people of color.

In a follow-up listening session, the Times reported, some employees felt their concerns weren’t being heard and that instead of a chance to provide feedback or have a dialogue, they were lectured by Lee about their response to the initial “Don’t Call Me Karen” event.

Deadbeat Demands More Money To Fuel Spending Spree

Giving the government even more money to spend will not solve the problem.

“With additional information now available, I am writing to note that we still estimate that Treasury will likely no longer be able to satisfy all of the government’s obligations if Congress has not acted to raise or suspend the debt limit by early June, and potentially as early as June 1,” she wrote.

Meanwhile...

Total consumer debt hit a fresh new high in the first quarter of 2023, pushing past $17 trillion even amid a sharp pullback in home borrowing.

 

The total for borrowing across all categories hit $17.05 trillion, an increase of nearly $150 billion, or 0.9% during the January-to-March period, the New York Federal Reserve reported Monday. That took total indebtedness up about $2.9 trillion from the pre-Covid period ended in 2019.

That increase came even though new mortgage originations, including refinancings, totaled just $323.5 billion, the lowest level since the second quarter of 2014. The total was 35% lower than in the fourth quarter of 2022 and 62% below the same period a year ago.

Banking Collapse Accelerates

Oof.

Trading in the shares of two more regional US lenders was temporarily suspended on Thursday amid a widening crisis for the country’s mid-sized banks.

 

Regulators stepped in to halt trading in the Los Angeles-based PacWest and Arizona’s Western Alliance following dramatic drops in their share prices.

 

It came after another mid-sized bank, First Republic, was sold to JP Morgan earlier this week. Depositors had pulled $100bn from First Republic, fearing their money was no longer safe.

 

PacWest had sought to calm markets on Wednesday and said it was in talks with several potential investors after its shares fell by as much as 60%. But the sell-off continued on Thursday and affected other regional banks.

NYPD Pilots Flexible Shifts

While I expect these options to be popular with some, I doubt it will stem the exodus. I don’t think most are leaving (or not joining) because of the way shifts are structured.

The flexible schedule comes amid a mass exodus of veteran officers retiring or taking jobs at other departments for better pay and benefits. The department is experiencing high overtime costs as the rest of the force picks up the slack with extra hours.

 

[…]

 

Under the 12-hour shift option, officers work three days on and three days off within the NYPD’s scheduling framework.

 

In the 10-hour option, officers would work 10-hour shifts for four days, followed by two days off.

 

Officers based in the Bronx — in the 45th and 47th precincts and in Transit District 11 and Public Service Area 8, which serves city housing projects in the 43rd, 45th and 47th precincts — are participating in the pilot program. If the program works, the city hopes to expand it.

New Zealand Ceases Livestock Exports

Well

WELLINGTON (Reuters) – New Zealand’s last exports of livestock by sea have been completed and live exports have ceased, its agriculture minister said on Friday, as it fully implemented a ban on export shipments of animals on the grounds of their welfare.

 

The government announced in 2021 that shipping animals offshore, largely for building herds in trading partners like China, would be halted but farmers would be given two years to transition out of the profitable export business.

 

“Our position on the map means that the journey to northern hemisphere markets will always be a long one and this brings unavoidable animal welfare challenges,” Agriculture Minister Damien O’Connor said in a statement announcing that live exports had ceased.

Finland Opens New Nuclear Reactor

This is the way.

OL3’s operator Teollisuuden Voima (TVO), which is owned by Finnish utility Fortum and a consortium of energy and industrial companies, has said the unit is expected to meet around 14% of Finland’s electricity demand, reducing the need for imports from Sweden and Norway.

 

The new reactor is expected to produce for at least 60 years, TVO said in a statement on Sunday after completing the transition from testing to regular output.

 

“The production of Olkiluoto 3 stabilises the price of electricity and plays an important role in the Finnish green transition,” TVO Chief Executive Jarmo Tanhua said in the statement.

 

Construction of the 1.6 gigawatt (GW) reactor, Finland’s first new nuclear plant in more than four decades and Europe’s first in 16 years, began in 2005. The plant was originally due to open four years later, but was plagued by technical issues.

Tech Layoffs “outsized impact on parts of the business that don’t generate revenue”

Ouch. This is the same reason that we see layoffs disproportionately hitting areas like DEI. It’s a good lesson for anyone’s career… work in the part of the business that generates money. It’s not always possible. Every company needs HR, accounting, etc. people, but it’s safest if you are somewhere in the flow of cash.

CNBC spoke with influencers, small businesses and Meta account managers as well as a half-dozen former contractors and former Meta employees about the deterioration in customer service at the company since the job cuts began in November. Taken together, they tell the story of a company whose quick pivot in late 2022 from rapid expansion mode to forced contraction had an outsized impact on parts of the business that don’t generate revenue.

 

The slashing of customer service has left Meta unable to address user issues ranging from people being locked out of their accounts to software bugs not getting fixed in Facebook Groups. It’s long been a challenge for Meta, given that Facebook and Instagram are used daily by billions of people. In August, Meta’s vice president of governance, Brent Harris, told Bloomberg News the tech giant was looking to improve its support.

 

A Meta spokesperson declined to comment for this story but sent CNBC examples of various ways the company has invested in customer service in recent years, including a small test of a live chat support feature on Facebook and a support site for some creators.

WWE Merges with UFC

This merger seems somehow appropriate with the Trump indictment.

World Wrestling Entertainment is merging with Endeavor Group, the parent company of competitor UFC, to form a new publicly traded company.

 

The deal values the newly combined company at over $21 billion: UFC is worth $12.1 billion and WWE is valued at $9.3 billion. Endeavor shareholders will own 51% of the newly combined company, while WWE shareholders are getting 49%.

 

“This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed,” said Ariel Emanuel, CEO of Endeavor, in a statement. Emanuel, a Hollywood powerhouse agent, will be the CEO of the new company and retain his chief executive title at the agency.

 

McDonald’s Closes Offices Ahead of Layoffs

This is an interesting tactic.

Fast food chain McDonald’s is temporarily closing its US offices this week ahead of an expected announcement on corporate job cuts.

 

The Wall Street Journal, which first reported the move, said McDonald’s had told US and some international staff to work from home so it can deliver decisions on jobs virtually.

 

The burger chain has declined to comment on how many posts are affected.

 

The cuts are part of a wider company reorganisation it announced in January.

 

At the time, McDonald’s boss Chris Kempczinski said the company was being hurt by an “outdated and self-limiting” structure.

 

The Wall Street Journal said it had seen a message from the company stating that: “During the week of April 3, we will communicate key decisions related to roles and staffing levels across the organization.”

 

McDonald’s has also asked employees to cancel all in-person meetings at its headquarters, the paper said.

I get it. It’s a good way to avoid workplace violence. I knew a company once who never fired people on Fridays under the theory that people might stew on it over the weekend and come in Monday to blow the place up. I’m not sure I buy that theory, but it’s a thought. Perhaps McDonald’s is on to something here.

It’s going to be a crappy week for a lot of people at McDonald’s, but it’s been tough all over.

Town Rejects Development to Preserve Heritage

And we wonder why the housing stock struggles to keep up with demand. By all means… let’s reject an investment in the community, more homes, more business, and more growth to keep some dilapidated old buildings. There is a way to honor our past while still investing in our future.

EATONVILLE, Fla. (AP) — A developer on Friday ended plans to purchase a 100-acre (39-hectare) property from the local school system in a historically Black town in Florida following a public outcry that the deal threatened the cultural heritage of the community made famous by Harlem Renaissance writer Zora Neale Hurston.

 

Derek Bruce said in a letter to Orange County Public Schools in Orlando that he had terminated the deal to purchase the land where a former school for Black students stood in the town of Eatonville. The school system said in a statement that it wouldn’t consider any further bids for the land.

 

[…]

 

An association dedicated to preserving Eatonville’s cultural history last week sued to stop the $14.6 million deal, claiming it threatened the cultural heritage of the town. The developer had plans to build 350 homes, as well as business spaces, raising fears the project would increase traffic and price out longtime residents of the town.

Inflation Tops 10% in UK

Ouch

U.K. inflation unexpectedly jumped in February, as food and energy bills continued to rise, placing further pressure on households.

 

The consumer price index (CPI) increased by an annual 10.4%, above the 9.9% consensus forecast among economists in a Refinitiv poll and up from 10.1% in January. On a monthly basis, CPI inflation was 1.1%, exceeding a forecast of 0.6%.

Biden’s First Veto

He is ensuring that your financial managers can prioritize things like environmental issues above maximizing returns on your investments. It doesn’t mean that they have to, so be sure to speak to your financial advisor to make sure that they really have your best interests in mind. Heck, they might be shaving off 10% of your returns for the Big Guy.

WASHINGTON — President Joe Biden issued his first veto Monday after Congress voted to block a Labor Department rule allowing retirement plans to weigh the long-term impacts of social factors and climate change on investments — a move Republicans say is a “woke” policy that hurts retirees’ pockets.

 

“I just signed this veto because the legislation passed by the Congress would put at risk retirement savings of individuals across the country,” Biden said in a video posted to Twitter. “They couldn’t take into consideration investments that would be impacted by climate impacted by overpaying executives.”

 

Senate Republicans, along with two Democrats, voted on the measure March 1, needing only a simple majority for it to pass. Sens. Jon Tester, D-Mont., and Joe Manchin, D-W.Va., who are both up for reelection next year in Republican states, voted with Republicans.

FED To Flood Economy with Cash to Fuel Inflation

They are making it worse. Much worse.

LondonCNN — 

The US Federal Reserve and several other major central banks announced a coordinated effort Sunday night to boost the flow of US dollars through the global financial system with the aim of keeping credit flowing to households and businesses.

“The Bank of Canada, the Bank of England, the Bank of Japan, the European Central Bank, the Federal Reserve, and the Swiss National Bank are today announcing a coordinated action to enhance the provision of liquidity via the standing US dollar liquidity swap line arrangements,” the central banks said in a joint statement.

[…]

The swap line between US Federal Reserve and the ECB, for example, enables the ECB to receive US dollars in exchange for an equivalent amount of euros. The ECB can then distribute those dollars to commercial banks in the 20 countries that use the euro.

The agreements can be an important tool for preserving financial stability and preventing market tension from affecting the economy, according to the ECB. During the global financial crisis of 2008 following the collapse of Lehman Brothers, funding markets dried up because of an extreme aversion to risk. Under these circumstances it became difficult for euro area banks to obtain US dollars.

From Monday through at least the end of April, the Fed and other central banks will make dollars available on a daily basis, rather than weekly.

Here me out… SAILS

We’re going back to wood ships with sails for international trade. It’s “progress.”

To get on track to reach net zero emissions by 2050, international shipping will have to reduce its emissions by 15% by 2030. So far, emissions from the industry have been going more or less consistently in the other direction.

 

One way to reduce emissions from shipping is to introduce a very old technology: sails. Wind is a clean source of propulsion that is often in abundance at sea. Some shipbuilders are taking this inspiration from the past extremely seriously, and even making the structure of the ship out of wood.

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