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Wonk Watch
This is The Sausage's daily look at what the people who actually know what they're talking about blogged today. You can see the introductory post here.
It's Not Good To Base One's Happiness on the GDP
How, exactly, does the economy expect us to decide how screwed we are if it keeps changing its mind? Once again, the GDP—that's gross domestic product, the total amount of goods, services, etc., that the country produces—disaster that was reported just a month ago is now not as bad as we thought. In late April, the world was told that the U.S. economy shrank by 6.1 percent. And really, who are we to argue? How am I supposed to say that those crazies at the Commerce Department forgot to carry the zero and slide the decimal points?
Wonk Watch
This is The Sausage's daily look at what the people who actually know what they're talking about blogged today. You can see the introductory post here.
Brad DeLong
Took the day off.
Paul Krugman
Took the day off.
Pop Culture for Sale
Ever worried that financial happenings tend to be overly dry, TBM has thrown together a quick roundup of random transactions to make sure we're covering the business news that really matters. Here’s a handful of moments from today’s news where symbolic and material value meet, hopefully for your enjoyment.
How To Get More Facebook Fans
Last week, TBM spotlighted Target (TGT) and its philanthropic activity on Facebook. The company was letting Facebook users vote on how it should give away $3 million, the estimated amount it said it donates to charity every week.
Time Warner's Lame Breakup Excuse
I love this bit of euphemism from Time Warner (TWX) CEO Jeff Bewkes on the spin-off to shareholders of AOL:
We believe AOL will then have a better opportunity to achieve its full potential as a leading independent Internet company," Time Warner Chief Executive Jeff Bewkes said in a statement.
Sex: Yes, It's Still for Sale
Careful—or sex-obsessed—readers might notice that TBM and our sister site Slate have separate stories about sex on Craigslist, and, frankly, depending on which one you read you might end up with a very different idea of whether Craigslist has dropped its ads for paid sex. Melissa Grant's story in Slate today makes the cogent and I think very valid point that Craigslist's ads make prostitution safer for both the sex workers and their clients.
Bing vs. Bing
AdAge broke the story on Monday, and today Steve Ballmer has confirmed, that Microsoft (MSFT) is unleashing a new search engine on the world, to be called Bing. Whether this will help Microsoft take on search titan Google (GOOG) is an angle best left to others. I'm curious, though, how the name Bing will play out, especially given its use by longtime business columnist Stanley Bing.
Treasury Continues Proud Tradition of Changing Its Mind
Since the Paulson days, it's been clear that this financial crisis in particular is a complex and unpredictable beast. So much so that Treasury can never seem to stick to its original plan.
First we had Paulson saying that the TARP would be used to buy up toxic assets. Then we had him saying that on second thought, the banks needed direct injections of money more than they needed us to absorb their assets. Then the Federal Reserve got involved with different loan programs, and nobody really knew what we were doing to save the banks, only that we were ostensibly trying our best.
Wonk Watch
The economic blogosphere has two distinct sects: the communicators and the brilliants. The communicators are the journo-bloggers who rehash the news with a dash of insight but a dearth of big-think vision. The brilliants are the wonky bloggers who break news with a visionary thesis that nobody can read all the way through.
Is Twitter Warming Up to Banner Ads?
Even before the Twitter phenomenon exploded into a full-blown fad last fall, fans and detractors alike have been wondering the same thing: How exactly are they going to make money? We’ve long been told that advertising wasn’t going to be Twitter’s answer. As late as Monday of last week, founder Biz Stone said publicly that the site wasn’t pursuing advertising as a source of revenue, according to a report from CNet.
Did Facebook Befriend The Russian Fakebook?
Digital Sky Technologies, the Russian investment company that invested $200 million in Facebook, was already familiar with the site's layout. Curiously, DST is also the sole investor in vKontakte, Russia's most popular social network. The site is undeniably a Facebook rip-off.
The Wall Street Gridiron
Life is a series of existential questions once NFL players hang up the cleats. How can I recapture the rush of being in front of millions of fans every Sunday? How can I make my head stop hurting from all these concussions? Now what am I going to do for a living?
The answer for one former player: enter the world of finance.
Will Somebody Please Start Counting Down to the Palm Pre Launch?
Palm (PALM) is marketing its new Pre smartphone as a device that "lives in the now" and "the phone that's truly living in real time." Then why are its advertisements so stuck in the past?
Palm is blitzing tech and gadget sites with Pre ads in advance of the phone's June 6 launch. Most of the display ads have a countdown timer to the big day that looks like this one I pulled off of WSJ.com:
Of Course Henry Paulson Didn’t Understand Mortgage-Backed Securities
It's time we stop thinking that people in charge of the financial system actually know what's happening inside the financial system. In Liar's Poker, Michael Lewis told us that there was a purposeful ignorance amongst Salomon Brothers brass in the '80s regarding these newfangled things called mortgage-backed securities. "The executive committee members of Salomon Brothers decided the mortgage market was bad news.
The Myth of a Corporate Tax Exodus
When the Obama administration unveiled its plan to crack down on corporations using tax havens to avoid paying their full share of tax, there was a corporate outcry, especially loud in the business media. Many trumpeted the view of Americans for Tax Reform, which predicted that making companies pay their taxes would cause U.S. companies to move abroad, taking their capital and jobs with them.
BLING AIN'T DEAD
In an article posted today, the Wall Street Journal bemoans the decline of genuine bling jewelry. The lament spends roughly 1,000 words—and far too many melting-ice puns—amplifying the complaints of celebrity artisans who are crying poverty (or maybe just crying) over a decline in sales of high-quality bling.
Blood and Oil in Nigeria
Chevron Corp. (CVX) has halted its export of approximately 100,000 barrels of Nigerian crude oil per day, the Wall Street Journal reported today.
Geithner Watches the CW
There's an amorphous, invisible force that floats around Washington, D.C., wafting in and out of the halls of power. Around the city it's referred to by its initials—CW—as though it were the pass code to a secret club of suit-sagged politicos; the very politicos who mold and shape the CW into what it is and what everybody talks about.
Warren Buffett, Pixar Star?
Is it just me, or does the grumpy old man protagonist in Disney/Pixar's soon-to-be-released film Up look just like Warren Buffett?

The Economy Cuffs Hands-On Work
Matthew Crawford's feature in the New York Times last week argues that the working world has discarded its cubicle structure in favor of hands-on careers in manufacturing and labor.
The New York Times Teases the Listicle
In the Web publishing business, there's no better kind of article than the listicle. As the snicker-worthy name suggests, it's an article that's actually a list, and on the Web that list is usually splintered across at least a half-dozen different pages. This ups a Web site's page-view count, which means it can serve more ads, which means it can bring in more revenue. It works for the same reasons broadcast countdowns work—folks like you and me want to see what the No.
Introducing Super Sausage: Old Blog, New Metabolism
Regular readers of TBM have probably realized that this blog, the Sausage, has become a playground of odds and ends. It's where the writers and editors of this site deposit their loose string, the thoughts that don't merit a full 800-1,200 words but do merit a riff or two. Or if we're not riffing, we're following up on stories we've already written, sometimes featuring reader commentary.
What the Sausage has most certainly not been is a blog. For the next two weeks, that's going to change.
Palm Prematurely Coming Up Short
It's hard not to root for the Palm Pre. First, the iPhone needs a real competitor, or at least one that doesn't cause a third of its users to return the phone. And there's the nostalgia for Palm (PALM), a company that was once so promising and has fallen so far. (Techies of yore will remember learning a whole new language to input text into the original Palm Pilots.
One Mortgage Down, 399,999 To Go
Remember the Hope for Homeowners program, weakly announced during the mortgage meltdown of '08? It was supposed to help 400,000 homeowners whose mortgages were under water. But the program has been a little slow to start, because it sets very tough guidelines. How slow? Well, so far it's guaranteed ... one. Maurna Desmond at Forbes.com has a mini-profile of the lender who underwrote it.
Recent The Sausage Posts
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Chadwick MatlinNovember 20, 2009
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Matthew McKnightNovember 20, 2009
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Caitlin McDevittNovember 20, 2009
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TBM StaffNovember 19, 2009
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Chadwick MatlinNovember 18, 2009
