Late Breaking Economic Geekery

As the resident Econogeek (say "Econogeek" it just SOUNDS cool), I of course consider it my duty to keep everyone informed of economic issues while not putting them to sleep.  Well we had a few things come up I wanted to post today:

The Wrecksas in Texas.  Remember how Texas was going to be the next big thing?  Turns out they've got a lot of budget problems too and I'm guessing there's not going to be a lot of effort to fix them in a manner that'll let the state grow.  If you don't think a state can do stupid things to its budget that constrain growth, then let me just mention I live in California, which is still pulling itself out of decades of bad choices.  An interesting description: Texas is Ireland.  (By the way, I'm not holding out hope for Florida either).

Goldman Sach's deal with Facebook.  This one has several repercussions, and frankly few of them good for Facebook.  Goldman's involvement has brought SEC attention which could force Facebook into an IPO.  Goldman does not have a good reputation among many after the financial meltdown, and it's involvement could tarnish Facebook.  Goldman is known for making all kinds of deals so they might draw Facebook into ventures, partnerships, and so on that aren't in the company's best interest.  Finally, Goldman's been known to be involved with "bubbles" before, and I wonder if their involvement might end up jacking up Facebook stock prices when it goes IPO – only to have a crash later.

Rudgers releases a study of a survey on workers here.  Some useful insights.

There's your quick economic blast!

Steven Savage