I never thought if it this way:
Two is that most debasement today takes the form of insured credit expansion: debt that is guaranteed explicitly or implicitly by the government. Any loan which will be repaid unless the US financial system collapses is as solid as the dollar by definition. This is obviously true of sovereign […]
The average house will decline by about 33% in value. Many people will not be paying back HELOC’s or purchase money mortgages. The collateral eventually foreclosed upon will not cover the debt. Money borrowed and not repaid, due to fractional reserve banking, will lead to destruction of the money created when the loan […]
A few weeks ago I bought into a developing market mutual fund. I was coerced by my investment adviser - against my better judgment.
I liked small capitalization domestic stocks. I was over weighted and the ETF was on fire (IWM in a retirement account). I was up 33% in a year, and […]
The new Fed Chairman reportedly looks at the US unemployment rate in trying to determin how much money they should make available.
Hello . . .
Since much of our manufacturing is done in China should not the Chairman look a the unemployment rate and capaciy utilization of China before deciding that things are tight and inflation […]
I was watching Cramer’s Mad Money when something occurred to me.
When Cramer talks about a stock often there is a flash disclaimer to the effect that Cramer’s Charitable Trust holds a position in the stock. There is never a disclaimer that Cramer holds a position in the stock.
So I thought, if Cramer beneficially owned […]
I have read Jane Galt since the days of “Live from the World Trade Center.” Among the greater lights of the blogosphere she passes as an economist and a libertarian, but her posts enrage me. Take this one interspaced with my comments:
Oh, we have a good idea, on a gross […]
The business channel I watch, CNBC, with “Morning something” then “Squakbox”, etc., demonstrates that the business people understand the information revolution better than the thinkers.
Yesterday morning there was a guy on who said in effect that our institutions were formed 60 or more years ago and most of them were formed to gather, control […]
I do not worry about inflation because the world is different.
In the last big bout of US inflation we had Reg Q which limited the interest financial institutions could pay on demand deposits. There were no money market funds at the start of the big inflation. I can’t remember, but I […]
There was an housing expert on Bloomberg news radio today. I did not catch his name. He was a big name in the field, affiliated with Columbia and had a book out recently.
Here’s a paraphrase of what he said (and any misstatement is my fault entirely). The economists and financial professionals missed […]
I picked up The Only Investment Guide You’ll Ever Need when I was young. It totally changed my viewpoint about investing.
The big lessons I took away were:
1. You cannot delegate running your money. When it comes to money, no one will protect your interests as well as you will. No […]