An Interview with Eugene Fama

...by Bob Litterman.  (A great piece to assign undergrads when teaching about financial markets and institutions.)

How To Raise Tax Revenue From The Rich Without Increasing Tax Rates

According to the Tax Policy Center, if we cap itemized deductions at $50,000 and keep tax rates as they are today, we would raise $749 billion in tax revenue over ten years.  Moreover, according to the TPC's distribution table, 96.2 percent of the extra revenue would come from the top quintile, with 79.9 percent from the top one percent.

This may be the germ of a possible deal between President Obama and Speaker Boehner: The speaker agrees to this tax hike if the president agrees to some fundamental reform of the entitlements, such as gradually but significantly raising the age of eligibility for Social Security and Medicare.

"Anything In Return" gallery and listening event in New York this weekend

Toro y Moi and Red Bull Music Academy have teamed up to produce a special art installation at Project Parlor in Brooklyn this weekend where you'll be the first to preview the new album.  The show will feature 13 original drawings from Chaz himself, and thanks to InCase headphones, each piece is paired with a song from Toro y Moi's new album, Anything In Return.

*  Friday 5-10pm OPENING NIGHT
*  Saturday 5-10pm SPECIAL EVENT w/ 1 hour comp Red Bull + Kru Vodka and a DJ set by Toro y Moi (Chaz)
*  Sunday General viewing

No Exit

With the President reelected and the House and Senate largely unchanged in composition, the first thought that came to my mind was the classic Sartre play No Exit, with President Obama, Speaker Boehner, and Majority Leader Reid playing the three characters.

"So Many Details" (Remix featuring Hodgy Beats)

Vote!

Today is the day. If you are a reader of this blog, it is a good bet that you are better informed than average on the key economic issues of the day. So get to the polls.

BTW, for two of my three children, this is the first presidential election in which they can vote.

The Fiscal Cliff: A Primer