Gaga Versus A Glut of Goods

Yes, I know that I'm more than a little obsessed

But really, it's not what you think
Lady Gaga holds no fascination for me
but Economics does

Linked by Instapundit, the Lady Gaga Economy

The Lady Gaga phenomenon conquered the Today Show this morning, with what must have been the largest crowd they’ve had in their summer concert series.
In the convoluted way things occur to me, I thought of the contrast between our limping general economy, and her thriving fame-monster micro-economy.

Say’s Law in economics is the proposition that supply creates its own demand. A relative overproduction of certain goods may occur, implying that too many scarce inputs have gone into the production of unwanted items relative to inputs for desired goods. But general overproduction — to which demand stimulus would allegedly provide relief — is not the core economic problem.


Right now, there’s lots of demand for Lady Gaga, say; but maybe too many houses, cars for sale, and hokey Internet startups.

So let me see if I get this right, what he's really saying is that we need more Gaga and less goods.
That just can't be good

Happy Friday everyone
And to my blogger friends who've been sweltering in the heat wave from Canada to France, I wish you cool breezes and plenty of ice for your drinks this weekend.

Lusting After Lower Heels

From the Wall Street Journal

Stilettos—So Two Years Ago
The return of the 'kitten' coincides with shaky economic times

so do serious times call for serious shoes?

That leads some to speculate whether there's a relationship between a sinking heel and the stock market. Gary Loveman, CEO of Harrah's Entertainment Inc., was reported saying earlier this year that he likes seeing women wearing stilettos in his casinos because he believes it means guests are more likely to spend more.

on the other hand

But not everyone thinks the kitten heel means bad times. Shorter shoes might be "an indication of the recession we've just been through," suggests Jeffrey Hirsch, editor of the Stock Trader's Almanac, adding that such correlations have "not so much" validity anymore.

Good market, bad market, I don't care. But enough already with the 6 inch stilettos.

Got Gold?

From the Telegraph.co.uk
UN wants new global currency to replace dollar

The dollar should be replaced with a global currency, the United Nations has said, proposing the biggest overhaul of the world's monetary system since the Second World War.
In a radical report, the UN Conference on Trade and Development (UNCTAD) has said the system of currencies and capital rules which binds the world economy is not working properly, and was largely responsible for the financial and economic crises.
It added that the present system, under which the dollar acts as the world's reserve currency , should be subject to a wholesale reconsideration.

With this happening to the dollar it's not much of a surprise that gold is going up

Gold Rallies to 18-Month High on Dollar’s Weakness, Inflation




Sept. 8 (Bloomberg) -- Gold rose to the highest price since March 2008, passing $1,000 an ounce

Looking for the positive spin on all of this...
the rise in gold prices makes newly manufactured jewelry more expensive
which of course makes vintage estate jewelry an even better value

Just thought I'd mention it

Never Underestimate Gnomes

In particular Never Underestimate The Swiss Gnomes

Swiss topple U.S. as most competitive economy: WEF

GENEVA (Reuters) – Switzerland knocked the United States off the position as the world's most competitive economy as the crash of the U.S. banking system left it more exposed to some long-standing weaknesses, a report said on Tuesday.
The World Economic Forum's global competitiveness report 2009/2010 showed economies with a large focus on financial services such as the U.S., Britain or Iceland were the losers of the crisis.
The U.S. as the world's largest economy lost last year's strong lead, slipping to number two for the first time since the introduction of the index in its current form in 2004.

Maybe if so many people in the US weren't on funemployment this wouldn't have happened.

I'm pretty competitive, can I still get invited to Davos this year?