America's Economic Future – A Discussion By Ted Kavadas
I’ve found it interesting that economic analysis is being categorized as coming from different political sources. For instance, it is often said that Ben Bernanke was appointed by a Republican, Paul Krugman is a “liberal economist,” etc. This type of classification was also seen in President Obama’s speech on Wednesday, when he said “…an idea …
Here is an updated chart from chartoftheday.com that I have shown and discussed previously, in my July 7 post: http://www.chartoftheday.com/20090904.htm?T There are other charts similar to this, from other sources…however, I find this chart particularly interesting as it incorporates the long-term averages of two other periods. As I wrote in my July 7 post: “As …
I ran across this story about homeless children in the New York Times: http://www.nytimes.com/2009/09/06/education/06homeless.html As I discussed in my September 3 post, I think it is important to have stories and statistics concerning poverty and misfortune published on a more frequent basis. While they are certainly disheartening, it is far better to have awareness of the trends and …
Lately I have seen a few articles that have openly stated that deflation would be a “positive” for individuals. There are various reasons given for this conclusion. One of the reasons that has been given is that deflation would lower the price of goods, and thereby increase purchasing power. My thought on the matter is …
The strong price action of gold lately has been interesting. As seen in the two-year daily price chart below, the $1000 level has been a pivotal area: Chart Courtesy of StockCharts.com For a variety of reasons I am closely watching whether this $1000 price level will be surpassed. I am under the impression, due to …
I find it interesting that we constantly see stories concerning the “highest paid” and wealthiest people of society and how much money they are making. However, when it comes to the other end of the spectrum, how many stories and statistics do we see about such things as those living in poverty, the wealth disparity, …
I recently came across an interesting chart titled “Relationship Of Inflation and Price/Earnings Ratios (1900-2008).” It is from Crestmont Research and can be found at this link: http://www.crestmontresearch.com/pdfs/Stock%20Inflation%20&%20PE.pdf It shows the effect of inflation and deflation (as defined by the CPI) on the P/E Ratio. I think that it is worth looking at for a variety …
Please note – some might find this post disturbing I would like to provide an overall update as to my thoughts on our current economic situation. First, however, a brief recap of what others think of our current economic situation (details of which can be found under the “Economic Forecasts” and “Stock Market” categories on the right-hand …
On August 7th I posted some commentary titled “The FDIC Situation.” Here is a story from The Wall Street Journal that does a good job of summarizing the situation there: http://online.wsj.com/article/SB125137695691263385.html?mod=djemalertNEWS One of the statistics of interest: “The FDIC’s insurance fund, which guards $6.2 trillion in U.S. deposits, fell to $10.4 billion at the quarter’s …
On Tuesday President Obama made remarks upon nominating Ben Bernanke for a second term as Fed Chairman. The remarks can be found here: http://www.whitehouse.gov/the_press_office/Remarks-By-The-President-and-Ben-Bernanke-at-the-Nomination-of-Ben-Bernanke-For-Chairman-Of-the-Federal-Reserve/ I would like to comment on some of the phrases President Obama used in these remarks. President Obama says, “The man next to me, Ben Bernanke, has led the Fed through …