The Cynical Economist

Feds charge Chinese firm with trade secret theft - The headline should read “Feds charge the Chinese government with trade secret theft 

Federal prosecutors on Wednesday significantly expanded a long-running trade secrets case when they unsealed an indictment that accuses a company owned by the Chinese government of conspiring with a California couple to steal trade secrets from DuPont Co.

Corporate Profits Aren’t What They Seem - 

Is the great profit engine of corporate America running out of steam?

While other parts of the economy struggled the past two years, large companies managed to rack up higher profits quarter after quarter. Now reality is catching up with big business.

As companies close their books on the final three months of last year, the big ones that make up the Standard & Poor’s 500 stock index appear likely to earn about $230 billion. That would be $12.6 billion more than a year earlier.

But the increase, 5.8 percent, is less than half the speed at which quarterly profits grew the first nine months of 2011. In the average quarter since the beginning of 2010, earnings have grown five times as fast.

Analysts expect profit growth to accelerate later this year. But so far, almost all the growth comes from two companies, one of them among America’s most favorite, the other among its most hated — Apple and the bailed-out insurance company AIG.

Take away those two companies and profits for the remaining 498 are expected to grow a measly 1.1 percent, according to FactSet, a provider of financial data.

Green economy lost jobs as recession raged - 

The green economy that California officials hoped would add jobs during the depths of the recent recession actually lost positions instead, according to a new report.

A World Flying Blind - 

The outlook for the global economy is gloomy and leaders lacking vision are to blame. Eventually, this will come back to haunt all of us

Warren Buffett: Why stocks beat gold and bonds - 

In an adaptation from his upcoming shareholder letter, the Oracle of Omaha explains why equities almost always beat the alternatives over time.

The insiders are selling heavily - 

Corporate insiders are now selling their companies’ stock at a rate not seen since late last July.

GHEI: A nation of moochers - 

Government benefits have become increasingly generous over time. The outlay for food stamps nearly doubled from $39.3 billion to $75.3 billion between 2008 and 2010, bringing the average per capita monthly benefit to $134. This all adds up. The total amount of government support per capita jumped from $7,314 in 1962 to $32,748 in 2010 (using constant 2005 dollars). Why work when you can do better simply living off government programs?