They all document with their own words just how fragile the Eurozone has become. Every little thing can break it apart. Democracy itself, instead of being a fundamental strength, is seen as a threat: if the “wrong” party or an anti-establishment populist or an anti-austerity billionaire gains the most votes in one country, the entire 17-nation construct might break apart.
Category: Economics
Trading Is Very Simple
David Kyte :
Trading is very simple; either you make money or you don’t make money. I wasn’t depending on anyone else. When you work for someone else, if you make money somebody gives you a bonus and if you lose money, somebody else pays your salary. When I was working for myself, it was the ultimate meritocracy, I was worth exactly what I made, no more, no less.
Three Things Investors Can Learn from Surfers
Ocean conditions can be calm one day only to be rough the next. This volatility is an important aspect of surfing because different ocean conditions call for different surfboards. Avid surfers know they are required to own a diverse collection of surfboards, allowing them to ride a variety of waves. From an investor’s perspective, market conditions are also constantly changing and, as in surfing, no single investment vehicle works well in every market condition. Thus, diversification is as imperative when investing as it is when surfing.
Beggar Thy Currency Or Thy Self?
Unlike the old days, the threat of currency wars is not directly related to trade imbalances and balance-of-payments crises. Rather, an important driver is major central banks’ pursuit of experimental measures in order to compensate for policy inadequacies and political dysfunction elsewhere.
Excess Cash on the Balance Sheet is Wealth Destruction
So usually, the managers go down the road of making dodgy acquisitions and wasting shareholder money to maintain growth when they should be returning that money to shareholders, who are the real owners of the company.
