Countdown To The Collapse

On multiple fronts there appears to have been a resumption of hostilities in the global currency wars. A subtle indication of this is the recently released report, Gold, the Renminbi and the Multi-Currency Reserve System, which I believe is highly significant for two reasons: First, it demonstrates that major global actors [...]

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Nobody Knows

“Economists, like royal children, are not punished for their errors.”

James Buchan.

We lost another client last week. This makes a grand total of two clients who have left us over the past year, not because we lost them money, but because apparently we didn’t make them enough. [...]

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A Conversation With John Llewellyn

[John Butler's interview with John Llewellyn is interesting, but Llewellyn is not "Austrian" in his approach. This might cause many of you to squirm a bit. I recommend you first skip down to John Butler's postscript at the end of the interview and read the first paragraph or two. His analysis [...]

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Out Of The Frying Pan Into The Frying Pan

“The skill of the sports player is not the result of superior knowledge of the future, but of an ability to employ and execute good strategies for making decisions in a complex and changing world. The same qualities are characteristic of the successful executive. Managers who know the future are more [...]

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The Fiscal Cliff Looms Because Mainstream Economists Got the Strength of the Post-Crash Economy Wrong

A problem with “fiscal cliff” economic reporting is the lack of context.  It is widely said that if only the “uncertainty” of the cliff were resolved, then businesses would invest again and all shall be well.

The problem, though, is that said fiscal cliff (or, fiscal slope) is the direct result of the failure of [...]

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Goons Versus Gold

When, more than 100 years ago, George Gilbert Williams, president of the famously conservative Chemical Bank, was asked for the secret of his success, he replied: “The fear of God.” You can have the fear of God or the socialisation of risk, but you cannot have both at once.

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The Terminator

“Our Russian psychosis has two curious features. Firstly, that an 80 per cent Christian Orthodox society for some reason reacts to a Mayan calendar which no one has ever seen. And secondly, that the end of the world is perceived as an economic crisis that can be survived on the banal [...]

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The Curse Of The Reserve Currency

Is reserve currency status an economic blessing or a curse? The answer might seem obvious, as reserve currencies have been shown to confer lower borrowing costs on their issuers. But what of the borrower who, enticed by low interest rates, borrows more than they can pay back? Naturally the result will be a default. However, [...]

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Wheelbarrows

“Sir, What could be more appropriate than rebranding euro bank notes with Europa* to improve security? The euro’s strength is a myth and its bosses’ attempted seduction is all bull.”

- Clark McGinn, Dublin 4, Ireland, in a letter to the Financial Times, 10.11.2012.

*Europa, in Greek mythology, after [...]

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The Greatest Trick

“I believe in an America where millions of Americans believe in an America that’s the America millions of Americans believe in. That’s the America I love.”

-     US Presidential Candidate Mitt Romney.

 Never try to teach a pig to sing, advised Robert Heinlein. It wastes your time and it [...]

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S.W.A.G.

Silver, wine, art, and gold have been touted as the investment alternatives for wealthy investors, many of whom have been pounded in the financial markets. We have certainly seen this in the art market where the recent sale of Munch’s iconic The Scream went for $120 million at auction. That reportedly went to, of course, financial giant [...]

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