Don’t Be Mistaken About the Cause of the Next Crisis
One thing that’s almost universally true of the financial media is that they are ignorant of economics. Read just about any financial commentator and you’ll find articles chock full of bad economics and debunked fallacies. Whether it’s the “benefit” of higher government spending contributing to GDP growth, the necessity of the Fed to stimulate demand, or the broken window...
Do You Know Why Stock Prices Are So High?
To millions of American investors, the bull market in stocks of the past few years has added billions of dollars to their 401(k), IRA, and other retirement accounts. Most investors don’t know or care why stock markets have shot up so much, but they certainly enjoy benefiting from that run. If you take a look at the underlying causes...
5 Dangers to the Near-Term Value of Your Investments
With stock markets near all-time highs and economic data such as GDP and the unemployment rate looking rosy, many investors have been lulled into a false sense of security, believing that the economy is going strong and that they’ll continue to make gains well into the future. But that feeling is dangerous, as there are numerous issues lurking about...
Europe’s Attempt at Divergence Will Be Bad News for the Dollar
In the aftermath of World War II, the United States was not just a military superpower but also an economic superpower. As the world’s largest economy and with the dollar being established as the world’s reserve currency, the US government had no qualms about taking advantage of that position. Even in the aftermath of the breakdown of the Bretton...
There’s No Better Time Than Now to Buy Gold and Silver
One of the temptations that most investors fall prey to is the temptation to check the value of their investment portfolio on a daily basis. When prices rise significantly, they feel great; when prices drop significantly, they feel like they made a bad decision. But looking at things in the short term is never a good way to think...
Avoid Making These 5 Retirement Planning Mistakes
Retirement planning is one of those things that is necessary for everyone to do, but that everyone hates actually having to do. The myriad options available in terms of investment assets, the multiple firms competing for your business, and the knowledge that making a mistake could costs you thousands of dollars of your hard-earned money puts so much pressure...