What we’re reading (10/8)
“Nearly 1,500 Florida Gas Stations Have Run Out Of Fuel. Hurricane Milton Could Cause Even More Trouble” (CNN Business). “Demand for gas has surged as some residents in Milton’s path are trying to fuel up before they evacuate. Others who plan to stay put are trying to fill gas tanks so they’ll be able to power their generators should they lose electricity for an extended period.”
“Short Seller Hindenburg Goes After Roblox” (Wall Street Journal). “Hindenburg alleges that Roblox has been exaggerating daily user and engagement figures to investors since it went public in 2021. The firm also accuses Roblox of giving priority to growth over measures that would better protect children from pedophiles and mature content. The firm said its research is based in part on interviews it conducted with multiple former Roblox employees and firsthand experience on the platform.”
“The Profit-Obsessed Monster Destroying American Emergency Rooms” (Vox). “Under new private equity ownership, ERs adopted an assortment of unsavory practices. Firms not only pressured clinicians to see patients faster, as illustrated by John’s experience, but to recommend hospital admission for more patients. They also dramatically raised the price tags for a range of emergency services, resulting in back-breakingly large bills for patients nationwide, like ones charging thousands of dollars for glue applied to a half-inch wound. To avoid having to negotiate those astronomical bills with the expert hagglers at insurance companies, firms kept their ERs from participating in many insurance networks. It was easier to collect on a so-called balance bill — the portion of a medical bill not paid for by a patient’s insurer — if the care a patient had received wasn’t covered by their insurance at all.”
“To Tax Capital Or Not To Tax Capital? That Should Not Be The Question” (A Zibaldone). “The main takeaway I have come to is following: the extant theoretical and empirical literature does not support the idea that mildly increasing or decreasing capital taxes from current levels matters much for growth or welfare. If someone does believe to the contrary, the burden of proof is on them.”
“Rate Cuts Were Supposed To Push Mortgage Rates Lower. The Opposite Has Happened.” (Business Insider). “Since Fed Chair Jerome Powell lowered interest rates by 50 basis points on September 18, the average 30-year fixed mortgage rate has moved higher, not lower. According to data from Mortgage News Daily, the average 30-year fixed mortgage rate has jumped about 47 basis points since the Fed rate cut, to 6.62% from 6.15%.”
