Morning Journal--What backs the value of money?

Economics

   This Week’s Data

            The International Council of Shopping Centers reported weekly retail sales of major retailers down 1.3% versus the prior week but up 3.8% on a year over year basis; Redbook Research reported month to date retail chain store sales up 0.5% versus the comparable period last month and up 3.7% versus the similar timeframe a year ago.

            Weekly mortgage applications rose 1.4% though purchase applications dropped 0.4%.

   Other

            Update on Big Four Economic Indicators (medium):

            http://advisorperspectives.com/dshort/updates/Big-Four-Economic-Indicators.php

            The latest from Mohamed El Erian (medium):

            http://www.bloombergview.com/articles/2014-08-19/how-to-survive-a-secular-stagnation

            What backs money? (short and a good read):

            http://pragcap.com/what-backs-the-value-of-money

            QE, the stock market and jobs (short):

            http://www.zerohedge.com/news/2014-08-19/charting-diminishing-effects-qe

            This recovery’s wage gain worse in post WWII era (short):

            http://www.zerohedge.com/news/2014-08-19/worst-recovery-ever

            Japanese trade deficit widens again (short):

            http://www.zerohedge.com/news/2014-08-19/japanese-trade-deficit-streak-hits-40-months-biggest-miss-october

Politics

  Domestic

NY Times reporter threatened with jail (short):

http://www.zerohedge.com/news/2014-08-19/pulitzer-prize-winner-obama-greatest-enemy-press-freedom-generation

  International

            Why free trade is better than tariffs (short):

            http://www.aei-ideas.org/2014/08/were-better-off-with-free-trade-so-why-do-we-have-tariffs/

            Ukraine’s next crisis is economic (medium):

            http://www.nakedcapitalism.com/2014/08/ukraines-next-crisis-economic-disaster.html