Professor Elam

Wed July 29, 2015

This report suggests the real economic problem is the lack of capital spending. We are studying depreciation in Intermediate Accounting. This lack of spending and hoarding of cash in a low interest rate environment reflects the over regulation of  the economy and uncertainty of tax policy. 

Is Dave Stockman right, is unemployment really 42.9%?

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Check out page C7 of today's WSJ, the Sears Tower in Chicago has sold for $1.3 Billion. This is the highest price ever paid for an office tower outside New York City. This is positive social mood in action. The Skyscraper Theory holds that big projects are planned during booms. So it figures that the biggest sale ever would happen at a stock market high. I assume the building is well rented, unlike a new office tower.