Tuesday, February 26, 2013
Government Subsidizes and Bankrupt Companies
There are many forms of government subsidies. Ambitious politicians ingeniously design schemes to expand their power and
repay their donor patrons. Opportunist corporate enterprises beg for favor to fund projects or guaranteed loans. The role
of government venture capitalism has produced a much-sordid record for the taxpayer. The sheer concept of picking winners
and losers is a pure political play that defies pragmatic prudence. In spite of this, actuality, the rush to squander public
money is one of the few growth industries. The pitiful results of the predictable bankruptcy are the common fate of this flawed
business model. Read the entire article
6:19 am est
Tuesday, February 19, 2013
Currency Wars - Race to the Bottom
The alarmist media always seeks to sell papers or broadcast ratings, built on the unswerving fear that followed the
financial meltdown, the banking establishment profits from the debt liquidation panic. The lack of stability in fiscal confidence
certainly abounds, but the schemes to paper over the mountain of liability obligations, develop at even a more rapid pace.
The implied result of a real currency war is that nations are acting or defending their own national interests. The truth
is that fiat currencies, designed to depreciate, benefits the moneychangers as the loss of purchasing power penalizes taxpayers
and consumers. Read the entire article
9:54 am est
Tuesday, February 12, 2013
Bond Bubble Expectations
Bonds are loans that have the expectation of payback with interest. Government bonds are viewed as the safest financial
instrument since the primary fiscal obligation of the state is to honor the terms of their own notes. However, in the fevered
climate of currency wars among central banksters, the security factor of capital repayment is rapidly coming into question.
As interest rates rise, the economic value of the bond diminishes. This inverted normal relationship is the essential dynamic
of lending money with the purchase of Treasury Bonds. So what is all the talk about a bond bubble and likelihood that it will
destroy your underwriting capital?
Read the entire article
12:26 pm est
Tuesday, February 5, 2013
Low Interest Rates Impoverish Savers
10:15 am est
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