Richard Maybury grabbed my attention: “Think about it. There are really only two choices. Either you will own you, or someone else will.” I’ve subscribed to Richard’s “U.S & World Early Warning Report” for years. I re-read the section about capitalism and socialism. Here are some tidbits: (my highlights) “Laissez-faire (less-aa-fair) is from the French laissez nous faire – leave […]
» Read moreFormer Fed Chairs, Janet Yellen and Ben Bernanke took great credit for steering the world recovery from the great recession. When something good happens, it’s a result of their masterful strategic planning. Why are they totally surprised when negative news gets reported? The Business Insider headline blared, “A record 7 million Americans have stopped paying their car loans, and even […]
» Read moreThe Federal Reserve is raising interest rates. Higher rates = higher monthly payments = more defaults. Who will get stuck with bad loans? Wolf Street recently interviewed Mike Jackson, CEO of AutoNation, the largest auto retailer in the country: “We knew ‘free money would inevitably end. Affordability would become an issue…’ The double whammy are rising costs for highly leveraged […]
» Read moreA New York Times (NYT) headline blared, “Too Little Too Late’: Bankruptcy Booms Among Older Americans”. They reference a Consumer Bankruptcy Project (CBP) study, “Graying of U.S. Bankruptcy: Fallout from Life in a Risk Society”: “For a rapidly growing share of older Americans, traditional ideas about life in retirement are being upended by a dismal reality: bankruptcy. …. Driving the […]
» Read moreI recently interviewed, Aja McClanahan, who told us how she and her husband built a plan that took seven years to pay off $120,000 in debt. At a young age, they are now debt-free! While they should celebrate, becoming debt-free is just one major milestone in a longer journey. It’s exciting and frustrating to finally get to the top of […]
» Read moreThe Cambridge University computer crashed when famous physicist, Steven Hawking published his doctoral thesis. He says, “Each generation stands on the shoulders of those who have gone before them, just as I did as a young Ph.D. student in Cambridge, inspired by the work of Isaac Newton, James Clerk Maxwell, and Albert Einstein.” “Each generation goes further than the generation […]
» Read moreIn a recent interview with Chuck Butler, he warned us that we may be in for a significant “Minsky Moment”. The federal reserve is raising interest rates and unloading trillions in their US debt holdings. Countries that normally buy our bonds are slowing down their purchases or reducing their holdings. With fewer buyers, what happens if interest rates continue to […]
» Read moreMy grandfather, William Paul Smith was an ordinary dairy farmer with a degree in common sense. One of his favorite sayings was, “It’s the same thing, only different.” 70 years ago, he warned me not to throw rocks at a wasps’ nest. As I cried and put ice on the sting, he explained what happened always happens – and I […]
» Read moreRemember when pundits suggested the way to get rich quick was to use “Other People’s Money” (OPM)? They pointed to real estate empires and stock market success resulting from investors leveraging debt to accumulate wealth. It’s not as easy as it sounds. I moved to Atlanta during the cable TV boom. Several friends worked for Scientific Atlanta, an innovator in […]
» Read moreI’m frequently asked about paying off a home mortgage. I tell everyone, “It depends!”. I asked that same question. A friend said his CPA was emphatic that one should not pay off their mortgage. He arranged a meeting where the three of us could talk. The CPA asked about the interest rate; 6% at the time. He showed me excellent […]
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