When the announcement was made over the summer that Netflix was essentially raising membership plan prices by 60%, many observers considered it only a matter of when, not if, subscribers would begin fleeing the DVD and video streaming service. The price changes started taking effect on September 1, and we can already see the impact: …
Three Years After Lehman, Why Our Banks Still Don’t Work
Happy Birthday, Financial Crisis. Three years ago today investment bank Lehman Brothers failed, officially plunging world into the worst financial panic in history (not fact checked – but it seemed really bad). There is surprisingly little coverage of the anniversary today, at least not on the blogs I read. Barry Ritholtz over at the …
Q&A: What We Learned Skipping Supermarkets and Restaurants For a Year
Last October, Rachel Hoff and Tom Ferguson embarked on an experiment in hyper-locavore healthy eating. For the next 12 months, the couple from Vallejo, Calif., wouldn’t set foot in a grocery store or restaurant. Their family’s …
The Las Vegas Real Estate Agent Who Sold 931 Homes Last Year
How many homes do you think a real estate agent sells in a year? Ten? Maybe a couple dozen in a really good year? Well, it turns out the median agent does seven “sides” — that is, represents either a buyer or seller in a home transaction — in the course of a year. So it’s pretty remarkable that there’s an agent in Las Vegas who did 931 …
Come Again? American Auto Workers Get Signing Bonuses?
As the auto industry climbs out of the worst economic slowdown since the Great Depression, workers are demanding higher pay. But the closest thing they are likely to get from a labor agreement between the United Auto Workers and …
Most Car Shoppers Are Waiting for Year-End Sales Before Buying
It’s no mystery why consumers in the market for new wheels have been in no hurry to purchase cars: Prices for new and used vehicles remained unusually high throughout the summer—even during Labor Day weekend, which is normally …
What Lipstick Tells Us About the Economy
Designer coats and crystal glasses can be hard sells in a tough economy. But lipstick is another story. At least that’s the thinking behind the “lipstick index,” termed by Leonard Lauder, chairman emeritus of cosmetics company Estée Lauder, in 2001 to explain the surge in lipstick sales during that recession.
Lately, the lipstick …
Are euro zone bonds the new subprime?
So we all by now know the story of how the global economy fell into the 2008 financial crisis. Banks gorged themselves on high-yielding U.S. subprime mortgage securities, which were awarded top credit ratings (perhaps fraudulently). When those investments proved as financially sound as the over-leveraged homeowners behind them, the …
The Truth Behind Rick Perry’s Lie About Social Security
Presidential hopeful Rick Perry says Social Security is a Ponzi scheme, but even he knows better. So why would he tell such a lie? Perry wants to ignite a discussion about real spending issues that most politicians won’t touch.
Tons of Sold-Out ‘Missoni for Target’ Goods Wind Up on eBay—At 3X Original Prices
Yesterday morning, Target began selling clothes, accessories, and home furnishings from its new Missoni for Target collection. To say that Target’s collaboration with the Italian fashion house has been a hit is putting it mildly. …
More Young Adults Are Poor, Live With Their Parents
It’s not your imagination: It really is more crowded at mom and dad’s place. The Census Bureau made headlines yesterday with news that the nation’s official poverty rate hit 15.1%, the highest since 1993. Tough times have also translated into a rise in adult children moving back into (or never leaving) their parent’s homes. In the spring
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How to Drive 1,418 Miles on a Single Tank of Gas
The 2011 Kia Optima Hybrid is estimated to get a solid 40 mpg on the highway. But a team of “hypermiling” specialists—who utilize special driving techniques to boost a vehicle’s fuel economy—just finished a trip through every …