Tuesday, July 31, 2012
The Record of Olympic Economics
6:49 am edt
As the world economy plunges and the financial markets debate the future of EU, the London Olympics provide a pretext
to take a holiday and party all night. The latest example of excess and self-absorbed haughtiness, promotes an agenda of internationalism.
The spirit of the games is less about sportsmanship than promotion of indoctrination. The cost to produce such an extravaganza
approaches sums that necessitate a bailout from the IMF. The article, Winner's curse? The economics of hosting the Olympic
Games, illustrates a disturbing cost for hosting the Games. Read the entire article
Tuesday, July 24, 2012
Parking Offshore Profits Hurt the Domestic Economy
6:20 am edt
Conducting commerce internationally is not a crime. However, the lack of reinvesting domestically provides an inevitable
drag on a viable internal economy. Publically traded companies operate under a set of rules that confuse the average investor.
Most privately owned businesses are well aware that paying taxes on profits is the price paid to transact trade. Transnational
corporation’s park extraordinary sums of money offshore to avoid a tax rate that most ordinary businesses pay routinely.
Such discrepancies act as negative incentives that plague a feeble employment record.
Read the entire article
Tuesday, July 17, 2012
The Federal Centralization Economy
7:48 am edt
A new hybrid of the command economy is being adapted to replace the last traces of a free market economy. The federal government,
through the increase of administrative regulations and bureaucrat oversight is forcing a dangerous planned economy with dire
consequences. It will not resemble the Soviet style of government ownership, because many business decisions will no longer
rest with owners, but will need conformity to rules that benefit favored enterprises.
Read the entire article
Tuesday, July 10, 2012
Compound Interest and the Debt Bubble
6:29 am edt
"Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays
it." Albert Einstein
Without a comprehensive understanding in this axiom of the financial universe, much of
public policy and finance is incomprehensible. The different positions of the borrower and the lender is obvious, but the
notion that one can earn enough interest on savings to maintain the purchasing power of the principle is a bygone fantasy
in the era of low interest rates. Read the entire article
Tuesday, July 3, 2012
Small Business Assault from Obamacare
5:45 am edt
Hold on to your socks, the part time hiring of employees will become the
new normal. The biggest prohibitive hit against job creation is in full motion. The consequences from Obamacare place a drag
on the economy that is undeniable. This mugging of small business will guarantee that the primary engine of employment will
sputter and knock, as the federal government forces higher and higher taxes on the last semblance of free enterprise. Read the entire article