Free Money

Living Wage Idiocy And Free Money Experiments

The problem is not insufficient wages. The problem is fractional reserve lending coupled with a Fed hell-bent on creating inflation in a technologically deflationary world. Misguided minimum wages hikes, public unions, and political corruption all exacerbate the problem.

Hypernormalisation

During the last 20 years of the Soviet Union, everyone knew the system wasn’t working, but as no one could imagine any alternative, politicians and citizens were resigned to pretending that it was. Eventually this pretending was accepted as normal and the fake reality thus created was accepted as real, an effect which Yurchak termed “hypernormalisation.” Looking at events over the past few years, one wonders if our own society is experiencing the same phenomenon.

New York Governor Proposes "Free Tuition" For Public Universities

Apparently New York's Governor doesn't think that misinformed government policies are doing nearly enough to drive up college tuition costs.  As a result, he has decided to offer "free" tuition at public state and city colleges to any student whose parents earn less than $125,000.

Demographic Shock Ground Zero: Japan Births Drop Below Million For The First Time On Record

While the US is finally starting to feel the social, political and economic hit from an aging population, nowhere is the demographic impact more visible than in what is the epicenter of the developed world's demographic problems: Japan. It is here that according to the latest government data, the number of births in Japan is likely to fall below a million this year for the first time since data became available in 1899.

All Aboard! Trump's Express Train To The Future

Everybody’s talking about the feds’ opportunity to “invest” free money. It makes us nervous; we know how hard it is to get a good return on investment – especially when you don’t know what you’re doing.

'Real' Money & Why You Need It Now, Part 2

"It might work for a while. But the falcon of asset prices becomes deaf to the falconer of the real economy. Then, in a kind of financial never-never land, he gets lost completely and flies into a tree. Asset prices fall to the ground. Investors panic. Lenders call their loans. Art investors rush to auction off their tableaux. Lines form at ATMs."

As The Dust Settles: Goldman Q&A On Life In Trumplandia

Expect the election result to increase policy uncertainty, warns Goldman Sachs, as a result of an increased pace of legislative action in 2017 without clarity, so far, regarding which issues the administration will prioritize. Over the near-term, much will depend on how financial conditions respond to the policy positions of the new administration. Despite today’s favorable market reaction, investors may take a dimmer view on proposals to raise tariffs or otherwise restrict international trade.

Seven Suggestions For President-Elect Trump

Dear President-Elect Trump, more policy tweaks, more promises of more government free money and more symbolic gestures won't fix anything. You must dig out the rot in our system of governance, destroy needless and burdensome state-cartel-imposed costs and encourage transparency, competition, accountability and locally based community-economy solutions.