The recent 800% increase in the price of Tesla and doubling of the DoorDash and Airbnb IPOs certainly seem very bubbly. DoorDash currently makes no profit and Tesla mainly through carbon tax credits. While these may have disrupted some industries, their valuations are priced as though they’re going to take over some industries completely. The…Read More
The recent all-time highs in Apple and other tech names have many analysts say that they are priced to perfection, leaving very little room to see where possible future growth could come from. However, the recent release of Apple’s first computer targeted CPU in the Apple M1 may change all that. M1 based laptops have…Read More
Low interest rates and commercial bank credit creation has severely increased the cost of college and the level of student loans associated with getting a degree, particularly in the United States where student loans are backed by the government. The 2020 Biden administration are floating several ideas to try and address this issue and the…Read More
While gold may be primarily a long term store of value, more people would be able to save more money in it if they were able to access in relatively short notice for a personal or community-wide emergency. For quite some time Goldmoney has only been offering its debit card services to clients located in…Read More
In their books Generations and The Fourth Turning, Neil Howe and William Strauss layout four generational archetypes that repeat through time. They have named these Prophets, Nomads, Heroes, and Artists. They believe that what emerges from this is a social and economic cycle that produces repeatable changes through time. In contemporary society, the generational archetypes…Read More
Gold mine production has historically grown at about 1.5% a year, roughly the rate of population growth of the world. However new deposits and particularly new economic deposits have become increasingly rare. This raised the question of whether we are at or past peak gold output. This article will line out some of the areas…Read More
From the US-China trade war to COVID highlighting the fragility of just in time supply chains, many people are calling for the end to globalisation and the nationalizing or at least regionalizing of supply chains. Consensus is that this move would be at least mildy inflationary, as new factories have to be built, in higher…Read More
We are coming to the end of the biggest credit expansion in history. While the expansion of credit has been devaluing for the USD and inflationary in terms of policy action, reflected in higher food, housing, and other asset prices, the net force of technology, too much debt and aging demographics is ultimately deflationary in…Read More
Books from “A Random Walk Down Walk Street” to “The Bare Foot Investor”, all expound the benefits of passive index investing. It is true that a superficial look at historical data for the S&P500 has shown that it has outperformed most active managers. However, a deeper look at other international indices as well as the…Read More
A recent thread on twitter from MMT proponent Stephanie Kelton got me thinking about the issue. The recent COVID stimulus funded by a massive deficit certainly has raised the question in a lot of people’s minds, though it was mainly papering over the cracks of a large amount of debt that wanted to deflate anyway.…Read More