Archive for the ‘Biblical Economics & Money’ Category
Tuesday, June 18th, 2013
The host of the 2014 World Cup is having its own internal economic issues. See: http://www.businessweek.com/news/2013-06-17/brazil-protests-to-resume-after-rousseff-jeered-at-soccer-match Having traveled internationally, I can attest to the disparity of wealth in many countries: The wealthy and the poor. A strong middle class is needed to promote economic stability and in many countries ...
Posted in Biblical Economics & Money | Comments Off on Brazil’s Economy
Tuesday, June 18th, 2013
Japan, the world’s third largest economy, has tried to print money as a way to get its economy growing again. The strong economic growth of the 1980s ended abruptly at the start of the 1990s. In the late 1980s, abnormalities within the Japanese economic system had fueled a speculative asset ...
Posted in Biblical Economics & Money | Comments Off on Remain Vigilant
Sunday, June 16th, 2013
The latest buzzword is SIFI and this particular buzzword can “buzz” right through your checking account without notice. In a recent speech, Fed Governor Jeremy C. Stein at the "Rethinking Macro Policy II," a conference sponsored by the International Monetary Fund, Washington, D.C. on April 17, 2013 made the following ...
Posted in Biblical Economics & Money | Comments Off on SIFI’s (Systemically Important Financial Institutions)
Friday, June 14th, 2013
This is not your parents’ era where there were no worries about the money in the bank being at risk. It is important to understand what is being contemplated to save those “too big to fail” banks. Don’t think that local banks are isolated. When I was in banking, I ...
Posted in Biblical Economics & Money | Comments Off on Are your bank deposits safe?
Friday, June 14th, 2013
In the big picture, the central planners are still trying to keep the wheels on the wagon as is goes down the mountain of debt and derivatives with huge boulders in the way. There is no way to navigate past all of the obstacles and safely make it back to ...
Posted in Biblical Economics & Money | Comments Off on “Steady as she goes”
Wednesday, June 12th, 2013
“When you don't know what's happening in the market, don't do anything, because anything you do might turn out to be stupid. If you're an amateur watching a poker game being played by professional gamblers, just keep watching. You'll probably be better off watching the game than joining the game.”
Posted in Biblical Economics & Money | Comments Off on Investor “Thought of the Day”
Monday, June 10th, 2013
A beloved brother from “Down Under” wrote me an encouraging email about our online Bible study yesterday: Hi Bob, Simply to say I am in "full absorption mode" with Dr. Speckhart because there is so much to absorb. It is incredibly believable and clears away ...
Posted in Biblical Economics & Money | Comments Off on Pressing the Boundaries
Friday, June 7th, 2013
It has been said that “Paper money hides the truth”. Unfortunately I agree. Paper money starts out as a convenience and is backed by gold. Then the central planners want to pump up the economy and bypass the normal contraction portion of the economic cycle. Interrupting this natural rhythm begins ...
Posted in Biblical Economics & Money | Comments Off on The Erosion of Wealth
Monday, June 3rd, 2013
The various agencies around the world are all looking at depositors’ money as a source of bank recapitalization. They would simply take a portion of depositor funds and issue bank stock… moving money from the liability category (Demand Deposits) to the equity category (bank stock). It would be done on ...
Posted in Biblical Economics & Money | Comments Off on Increased Risk of Demand Deposits
Sunday, June 2nd, 2013
The recent drop in the price of gold was called a “six sigma event”. A six sigma event is characterized by a price drop of six times the volatility (or standard deviations) of the asset , thus the name six-sigma, sigma being the Greek letter representing volatility. ...
Posted in Biblical Economics & Money | Comments Off on Six Sigma Event