Category «Finance & Money»

Walmart: What’s so Bad?

I was thinking, for some inexplicable reason, about those who protest against Walmart and their employee pay scale and benefit package, or lack thereof. And then I thought, why don’t we protest against all businesses that aren’t Walmart? Here’s my reasoning; tell me where I’m wrong. Walmart doesn’t force anyone to work for them. Slavery …

Financial Tyranny Looms in the United States

The downward spiral continues. Americans are in danger of losing the remainder of their financial independence as the president has nominated an avowed enemy of cash, economist Marvin Goodfriend, to the Board of Governors of the Federal Reserve. Goodfriend has written and has said in speeches (2016) that the existence of cash hinders the ability …

How The Federal Reserve Affects Interest Rates

Former congressman Ron Paul for several years introduced legislation requiring an audit of the Federal Reserve Bank. Every other corporation in the country is expected to undergo regular audits to ensure investors that they are being managed according to normally accepted financial principles and that the financial statements they publish are true and accurate. Not …

How the Fed Creates Money From Nothing

Let’s set the scene with The Private Business Method Acme Widget Corp. wants to increase its manufacturing capacity but doesn’t want to use its available cash reserves (money) or sell more shares of the company (i.e., dilute its ownership). The only other option? Borrow. When a business wants to borrow money it can go to …

What the H*ll is Money, Anyway? Part 2

Let’s back up a little from last week’s article and get back to the definition and history of money. The most basic definition of money is a medium of exchange and a store of value. Before money was barter: You have something I want; I have something you want, and so we exchange. But the …

What the H*ll is Money, Anyway?

Today I want to begin a multi-part discussion of money–what it is and what it isn’t. Imagine yourself on a remote island with tropical fruit growing all around you and more fish swimming along your shores than you could eat in a lifetime. The weather is warm all year-round and there are no mosquitoes. What …

Beware the Pump and Dump

In the old days, way back before Al Gore invented the Internet, stocks, shares of company ownership, were sold through brokers. They had nice offices in A-list business-district buildings. Stock brokers wore suits and ties. They sat behind walnut desks and smoked expensive cigars (Yes! Even in the office!). Clients would meet with them face …

The Spanish Empire Redux?

One of my hobbies is reading, and specifically reading history. I find the parallels of historical events to life in today’s world fascinating. We’ve all heard that history repeats itself. Others say it doesn’t exactly repeat, but it rhymes. Either way, there is nothing new under the sun and we can better understand our own …

Dig Your Well Before You’re Thirsty

It’s back to financial and economic news today. Maybe I should say money news—economics is boring but everyone likes money. Paul Krugman said in a recent column that he’d like to hear some major apologies from all those politicians and economists who predicted massive general price increases from the inflation of the money supply since …

What’s Wrong with Capitalism?

I had a question from a reader the other day. You may have thought the same thing. To wit, “You say you’re an unabashed capitalist, but your articles pan the financial industry and the way business operates in these United States.” What’s up with that? I’m glad you asked. Before any large enterprise can begin, …