Economy & Innovation

This article first appeared in the St. Louis Beacon, Dec. 19, 2008 - As details of financial shenanigans perpetrated by fallen Wall Street gurus become public, the blame game is revving up. The Madoff scandal is quickly engulfing others. From his family to his cronies on Wall Street to Christopher Cox, chairman of the Securities and Exchange Commission, there is plenty of blame going around. And why not? After all, it appears that the losses stemming from Madoff's Ponzi scheme will surpass the GDP of many countries.

This article first appeared in the St. Louis Beacon, Dec. 19, 2008 - Here's what the great auto industry meltdown of 2008 looks like to Darin Gilley, president of Local 1760 of the United Auto Workers: His local has gone from 650 to 15 current active members and is on the verge of dissolving; he is unemployed.

This article first appeared in the St Louis Beacon, Dec. 17, 2008 - The Federal Reserve's decision to cut an important interest rate to a record low of 0.25 percent begs the question: What's next? Goose eggs?

The Fed vowed Tuesday that it would take aggressive action in the face of the worsening recession, including cutting its target interest rate of 1 percent by three-quarters. The interest rate is an overnight bank lending rate known as the federal funds rate. In a statement released at the conclusion of a two-day meeting, the Fed also said that interest rates would remain low "for some time" and that it would consider other efforts to boost the economy, such as the purchase of U.S. Treasury bonds.

This article first appeared in the St. Louis Beacon, Dec. 15, 2008 - Mall owners are getting nervous as the domino effect of a recession works its way through the retail sector.

The formula for anxiety is based on years of aggressive expansion and the inhaling of debt to finance growth. Now, the bills are coming due when consumer confidence is low, unemployment is rising and retailers are struggling.

This article first appeared in the St. Louis Beacon, Dec. 15, 2008 - Many St. Louis area religious congregations are experiencing four facets of the economic downturn.

This article first appeared in the St. Louis Beacon, Dec. 7, 2008 - Illinois is drifting toward a mediocrity that could deny our kids and grandkids the economic opportunity and quality of life that have lifted generation after generation in this heartland hub. Yet, most residents do not sense the urgency, do not understand the depth and breadth of an unprecedented budgetary meltdown and do not trust their leaders any more than their leaders trust each other.

This article first appeared in the St. Louis Beacon, Dec. 5, 2008 - Economic expansion, which began in November 2001, ended in December 2007. Although it took some time, the National Bureau of Economic Research, the widely recognized arbiter of when recessions begin and end, has made the call. The U.S. economy officially has been in a recession for about a year.

This article first appeared in the St. Louis Beacon, Dec. 4, 2008 - The Saint Louis Galleria's corporate parent, Chicago-based General Growth Properties, is on the brink of bankruptcy, prompting company leaders to offer their portfolio of 200 malls – in part or en masse – for sale.

This article first appeared in the St. Louis Beacon, Dec. 4, 2008 - In a syndicated column that ran in the Nov. 30 Post-Dispatch, Kathleen Parker reported on a new study by the Intercollegiate Studies Institute that sought to measure the civic literacy of the American public. The findings were predictably grim.

This article first appeared in the St. Louis Beacon, Dec. 2, 2008 - When economists at the National Bureau of Economic Research announced on Monday that the United States has been in a recession since December 2007, the stock market took another plunge.

This article first appeared in the St. Louis Beacon, Dec. 1, 2008 - To construct a global financial meltdown, start with some building blocks called "mortgage-backed securities."

What are they?

In a nutshell: A borrower goes to a lender to arrange financing to buy a house. The lender gives the borrower the money but then sells the loan – or portions of it – to a third-party financial company. That company further divvies up the loan among investors who will share the profits from the loan repayment but also the risk should the homeowner default.

This article first appeared in the St. Louis Beacon, Nov. 30, 2008 - Surrounded by soaring foreclosures, falling interest rates and crashing markets, one house stands recession proof through the holidays: The gingerbread house.

Made with a tasty mortar and inspired by the dreams of two German brothers, whose stories of Hansel and Gretel brought the fantasy of an edible abode to life, the gingerbread house is a tradition that has weathered the ages and continues to delight.

This article first appeared in the St. Louis Beacon, Nov. 25, 2008 - Thanksgiving 2008, in the midst of an economic downturn, reminds us to remember our many blessings. Among mine has been the opportunity to work in company with dedicated friends and colleagues for causes in which I believe. I will mention two.

This article first appeared in the St. Louis Beacon, Nov. 24, 2008 - While falling gas prices and holiday retail bargains may be welcome news to cash-strapped consumers, economists have started tossing around a new term: deflation.

And they don't seem pleased about it.

This article first appeared in the St. Louis Beacon: November 21, 2008 - The auto industry is pulling out all stops to secure a place at the public trough. In the latest development, Congress has given the automakers an ultimatum: No plan no bailout.

This article first appeared in the St. Louis Beacon: November 21, 2008 - There are no heroes to be found in today's economic crisis, and it won't be over any time soon, says St. Louis economist Murray Weidenbaum.

"I've been saying for some time that this is going to be a long, deep recession; we're not going to come quickly out of it. I hope that some time next year we'll be hitting bottom and the economy will start turning up -- but not dramatically,'' Weidenbaum told the Beacon on Thursday.

This article first appeared in the St. Louis Beacon: November 19, 2008 - Washington University Chancellor Mark S. Wrighton warned students and faculty to expect a "significant reduction" in spending during the next fiscal year due to deteriorating economic conditions. The expected spending cuts will affect capital projects, staff positions, and pay raises, he said.

This article first appeared in the St. Louis Beacon: November 19, 2008 - They didn't pass the hat after Tuesday night's screening of the documentary "I.O.U.S.A.'' at the Missouri History Museum, but audience members did learn what their individual share of the country's nearly $60 trillion fiscal hole will be, come January: $184,000.

This article first appeared in the St. Louis Beacon: November 18, 2008 - Oh, the shopping season looks frightful -- whether you're a consumer, fretting about what to buy and how much to spend, or a retailer, worrying about sales, or an employee, wondering how much longer work will continue.

This article first appeared in the St. Louis Beacon: November 18, 2008 - Only weeks after painting a rosy picture about the fiscal health of the University of Missouri, the system's president, Gary D. Forsee, reversed himself on Monday by announcing a system-wide hiring freeze.