In the meanwhile, China is buying up the world’s gold reserve as they are vying to become the international currency for trade, replacing the fiat dollar which is backed by nothing and is essentially a worthless piece of paper. In the following video, Jim Self explains how the collapse of...
Analyzing the recovery of the banking system, interestingly, is one place where the different forms of QE as practiced by the Fed in the US and the ECB in Europe appear to have had varying impacts. The Fed bought assets from the banking system, and this did two things. It provided liquid...
It left numerous opportunities. And, while some banks like Citibank never really recovered from their disaster, ladder-buying other “too big to fails” did end up becoming quite profitable. We became debt holders of General Motors (GM), which made us equity holders of the new company, and ...
What year did Ansett collapse? What is digital currency? What are Federal Reserve notes? What does a cashless society mean? What is economies of scale in banking? Who benefits from a strong dollar? What is the U.S. dollar backed by? What is the difference between a depression and recessio...
Did resorting to a beloved master shake me out of my reading malaise? Well . . . I Was delighted when Cathy746 announced a year of “Reading William Trevor,” as it reminded me of how very much I love his work. Surely reading something, anything, from such an old favorite, a ...
We did so because we believed it represented a pragmatic way to address the very problems that were transfix- ing the world. After just a year, it is clear that our belief was correct. The idea of "smarter systems" is resonating with decision-makers in both the private and public sectors...
Wall Street Analysts must become optimistic about corporateearnings The U.S. dollar must get weaker. A strong dollar makes it more difficult for foreign nations to buy American things. Volatilitymust show continued signs of declining. The Yield Curve must not be inverted ...
The Chinese government continued to allow the steady appreciation of its currency against the U.S. dollar in the first half of the year, after which the exchange rate remained broadly unchanged. Real gross domestic product growth in India slowed to an estimated 6.7% in calendar year ...
Inflation is a function of the supply and demand for money, meaning that producing relatively more dollars causes each dollar to become less valuable, forcing the general price level to rise. The Federal Reserve targets a 2% inflation rate over the long term, believing slow and steady price ...
Inflation is the term used to describe thedrop of a currency's purchasing powerover time. As such, one unit of currency buys less than it did before inflationary pressures hit the economy.Unemploymentis the situation that economists refer to when the number of jobless people who ...