Friday, the 29th of July 2016
Some of you may have heard the story my dad used to tell about how, back in the early 1970s, he planted (actually, he had me plant) black walnut trees on some land we own. The big-picture plan was to plant them so that future generations would be able to harvest them and reap the benefits of their far-sighted ancestors. It was a great long-term plan, but there were a few details missing…. Now, I’m going to tell you the rest of the story.
Wednesday, the 29th of June 2016
Someone recently asked me whether I thought there would be a war as a result of the British electing to exit the European Union (EU). After all, she said, President Lincoln went to war when the Confederate States of America seceded from the United States of America.
Monday, the 6th of June 2016
One of the chief virtues of a gold standard is that it serves as a restraint on the growth of money and credit. It makes runaway government deficit spending and major monetary catastrophes such as hyperinflation practically impossible.
Monday, the 30th of May 2016
We've all heard about negative interest rates by now. How the bank depositor has to pay the bank for the privilege of keeping his/her money in the bank…the opposite of the way things have worked in the past.
Wednesday, the 27th of April 2016
Everyone knows that regulators regulate markets. Markets, of course, are the result of individuals acting freely to determine the price of everything from food to insurance. It's simply the most efficient way to allocate scarce resources in a world of unlimited wants. And when regulators regulate, they alter the way people behave.
Monday, the 28th of March 2016
As interest rates go negative, savers have less incentive to save and everyone has less incentive to stay within the unrewarding "system." The "system," of course...
Thursday, the 25th of February 2016
Let's say there's a banking crisis and banks stop lending money. The economy contracts. Voters become unhappy. And nowadays it's the central bank's job to stimulate the economy. So, what does it do?
Friday, the 12th of February 2016
The Federal Reserve Board finds itself back in a quandary of its own making.
Thursday, the 14th of January 2016
Some advocates of the gold standard look to the past and idolize the way it was during the 19th and early 20th centuries. They point to the Coinage Act of 1792, where a dollar was defined as 371¼ grains of pure silver, and gold was fixed at a ratio of 15 to 1 relative to silver. “If only we could fix the dollar to a set quantity of silver again,” they lament.
Thursday, the 31st of December 2015
The war in Syria continues, sending out a flood of refugees to Europe and beyond. Russia has joined the Syrian fray, and Europeans are becoming frayed around the edges as more refugees move in. Meanwhile, rich Arab countries...
Thursday, the 17th of December 2015
Is America on the cusp of a revolution that will usher in a new monetary order? The lessons of history tell us...
Wednesday, the 2nd of December 2015
You may have heard that Saudi Arabia has just brought a halt to its experiment of growing wheat in the desert. In other words, they are about to stop turning their oil revenues into...
Thursday, the 29th of October 2015
Back in 2008, when Lehman Brothers failed, Merrill Lynch was taken over by Bank of America, AIG was nationalized, and Reserve Primary Fund's (a large money fund) price dropped below one dollar, the Fed came to everyone's rescue with cash. Since then...
Tuesday, the 29th of September 2015
So the Fed didn't raise short-term interest rates, again. Is the economy still too weak? Does it need more stimulus?
Wednesday, the 16th of September 2015
Global companies are having trouble paying their bills...
Tuesday, the 8th of September 2015
The bloodbath was merciless. In 1842, 16,500 British soldiers and civilians withdrew from Kabul, Afghanistan. Only one would survive. It was the most humiliating military disaster...
Wednesday, the 2nd of September 2015
Even if you are already wealthy, some thought on this topic is worthwhile. What would you do if some act of God or of government...took you back to square one?
Monday, the 31st of August 2015
After 71 years of the world’s being under the U.S. dollar’s dominance and 44 years operating as an un-backed fiat currency, the wheels are finally starting to wobble. How much longer till they fall off?
Tuesday, the 11th of August 2015
Individual investors take note...Some of the world's best money managers are betting on the biggest financial disaster since 2008. You won't hear about this from the mainstream media.
Wednesday, the 29th of July 2015
If I could borrow money at 0% interest or even 1% interest with inflation at 1%+, why wouldn’t I? All I have to do is...
Friday, the 3rd of July 2015
For the unprepared, it happens like a mugging...When you hear a central banker or politician deny that something is going to happen to bank depositors, you can almost be certain that it will happen. And probably...