Sound Money for a Sound State

Every day we see signs of waning confidence. The politicians pontificate and the markets plunge.  Talking heads rile the trading floors People are panicking, but are unsure as to what drives the panic. Lying behind this turmoil is the fundamental flaw in our economy: our money. The antidote is gold.

Over the last few . . . → Read More: Sound Money for a Sound State

Further leveraging is not the right way to stimulate the economy!

To stem foreclosures and keep people in their homes in a socialist mind set is not enough, we need to have a free market based stimulus plan to get people to come back to the real estate market to ensure on-going prosperity. Our country’s and hence the global economic prosperity hinges on the continuing . . . → Read More: Further leveraging is not the right way to stimulate the economy!

American Recovery and Reinvestment Act?

The American Recovery and Reinvestment Act, commonly known as “the Obama stimulus plan” or “bailout plan” got signed into law recently, after weeks of haggling in the House. The stimulus plan has a total price tag of $787 billion, and represents 5.5% of gross domestic product (GDP), although its impact on the economy may be [...] . . . → Read More: American Recovery and Reinvestment Act?

Terrorism in the UK: Exploited.

The government’s anti-terrorism ardour was endorsed again last week, as Section 76 of the new Counter Terrorism Act came into force on the 15th February. Section 76 in itself, seems to highlight the laudable extremes the government are willing to go to to ensure our safety. Although I understand that the government need something . . . → Read More: Terrorism in the UK: Exploited.

Spending Is Not Stimulus President Obama

Amid cheers, President Obama showed his true colors when it comes to his plan to deal with the recession (soon to be a depression). Valiantly fighting off all takers on his stimulus, Mr. Obama exclaimed,

“Then there’s the argument, well, this is full of pet projects. When was the last time that we saw . . . → Read More: Spending Is Not Stimulus President Obama

Falling Markets, Consider TIPS

So far the hopes of a rebound in the economy appear slim in 2009. The markets have steadily traded downwards since the beginning of the year, wiping out all the gains that were seen last month of 2008. The question on everyone’s mind is where does the value exist currently? With deflation being the new [...] . . . → Read More: Falling Markets, Consider TIPS

Is Your Money Really Safe with FDIC?

One of the most draconian and counterproductive interventions of the New Deal was the Glass-Steagall Act of 1933. Not only did it effectively end the gold standard and establish a fascistic regulatory environment that undermined the global competitiveness of the U.S. banking industry, it also established the sham known as the FDIC (Federal Deposit . . . → Read More: Is Your Money Really Safe with FDIC?

We need a global economic process of creative destruction to begin now

The governments of the richest nations, as well as those nations who’s populations are poor but their leaders stashed reserves of funds, “invest” in the richest companies of this world that mismanaged their and our wealth in the first place and then ask for a bailout pretending to help us, . . . → Read More: We need a global economic process of creative destruction to begin now

The Irony Of Antitrust

Hurting consumers presumably involves restricting output and raising prices, as antitrust theory goes. Preventing that sounds heroic, like being the champion of the people, but the reality is that antitrust actions have a much better record of protecting inefficient companies at the expense of more efficient competitors and consumers. . . . → Read More: The Irony Of Antitrust

Negative Impact of Estate Tax

In economics, inheritance means transfer of unconsumed assets from one generation to the next. The goal of estate tax is to reduce the volume of such transfer. Adam Smith in his work, The Wealth of Nations, commented that all taxes upon the transference of property of every kind, so far as they diminish the . . . → Read More: Negative Impact of Estate Tax