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On the blogs

Kakistocracy -- Mario Nuti on the Greek negotiations, up to the agreement reached the other day. Note that he sees the extension as a good thing. So do I. I don't think Greece caved, as many on the left have been saying. This is an agreement were everybody can claim victory. Greeks got more time, which they need, Germans didn't make concessions, at least not very early in the process.

Warning: too much finance is bad for the economy -- The Economist, following research from Cecchetti at the BIS. And yes they are right, but for the wrong reasons. Finance hurts not because the genius that would have gone to physics ends up in the hedge fund. The reason is too much unregulated finance is prone to crisis.

Human Capital Controversy -- David Ruccio on the debate that followed Branko Milanovic's post on ditching human capital, with Nick Rowe among others.

Graph/Table of the Week: Wage Compression -- The URPE post, with a link to Ezra Klein's discussion of the Obama economy.

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