The Productive Vote Against Obama’s Economic Delusions

No matter what Washington believes is good for the country, if it is not perceived as such by its economic actors there will be no economic recovery. No amount of propaganda associated with “hope and change” can alter the first commandment of human behavior — people act in their own best interest. Government policies ignore this commandment, believing people can [...]

Common Sense Video — The Business Cycle

Tyler Cowan provides a series of short introductory videos on the the business cycle. These focus on how the various “schools” of economics explain business cycles. The short introduction is below. Other videos are available here.

Not Good Signs

From Michael Panzner at Financial Armageddon comes this collection of bad news: “The Last Time Wall Street Was This Negative, We Were In A Recession” (Business Insider) As second quarter earnings season begins, companies are slashing earnings guidance at rates not seen in the last three years. Tobias Levkovich, who heads Citi’s U.S. equity strategy research, points out in a note to [...]

Money, Banking and Business Cycles

For anyone interested in learning about Money, Banking and Business Cycles, I highly recommend this book. It is massive and an excellent treatment of the subjects from an Austrian perspective. Furthermore, its price is about 1/3 of what I paid. Outstanding bargain and outstanding presentation. Money, Bank Credit, and Economic Cycles Only a few 2nd edition copies remain! Get them [...]

The Wealthy Merely Seek Legal Redress

The following represents a comment received on the post The Wealthy Beg. I thought it important enough to deserve a post. It provides an explanation of SIPC and how it works. The author corrects some impressions conveyed by my post that were originally reported in the Bloomberg article. Thanks to Mr. Friedman for setting the record straight. His comment was [...]

Another Blow to Air Passengers

Image via Wikipedia Washington is cleaning up the airline industry with more regulation. NOT! This latest example of Washington intervention is more patently absurd than others. All are absurd; this example is just so simple that it is understandable without a complex chain of reasoning. It is classic top-down management in a world that is run from the bottom up. [...]

FED Bunkum

A Wall Street Journal article reported: “The Treasury said it will borrow $200 billion and leave the cash proceeds on deposit with the Federal Reserve, reviving a program that will make it easier for the Fed to raise interest rates when the time comes.” I had to read that sentence several times to try and understand what it said. I [...]

Stimulus Checks Explained

Some humor received via an email. As in most humor, it works because of the element of truth contained within. Sad but true: Stimulus Checks Explained Sometime this year, we taxpayers will again receive another ‘Economic Stimulus’ payment. This is indeed a very exciting program,  and I’ll explain it by using a Q & A format: Q.  What is an [...]

Martenson’s Forecast for How This Ends

For investors or just curiosity-seekers, how we escape from the economic mess is of interest. Jim Puplava at stated: “I believe that getting the inflation/deflation story right is the single-most important investment decision that needs to be made. It will determine the investment outcome of portfolios over the next decade.” Investments that might be expected to do well in [...]

Time to Pony Up Again, Taxpayers

Image via Wikipedia Image via Wikipedia Obama announced his new budget, which exceeded most people’s expectations regarding spending. The deficit is likely to be worse than projected because of rosy revenue assumptions. Today WaPo announces that serious problems are developing in the FHA: The share of borrowers who are falling seriously behind on loans backed by the Federal Housing Administration [...]

US Lends to Brazil to Benefit China

I sure would like to know the rationale behind this “deal” as reported in an article in the WSJ. The U.S. is going to lend billions of dollars to Brazil’s state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil’s Tupi oil field in the Santos Basin near Rio de Janeiro. Brazil’s planning minister confirmed that [...]

International Currency System Nearing a Breaking Point

The strains on the International monetary system are increasing. This system was never sustainable. It replaced a system that had broken down. And that system had replaced another phony international monetary system. How this system collapses is indeterminate. It could be initiated a collapse of the dollar or it could be a collapse within a particular trading zone. Either outcome [...]