Demographics And The Economy

Nov 25th, 2015 Business, Money, Stock Market Bill B. May 2 min read

by Bill B. May In a recent Wall Street Journal article, the author bemoans the fact that the working age population of the world is declining.  Why is a declining population such a big issue?  Well, for the WSJ, business growth is what they are all about.  When business grows, companies that benefit from such growth will benefit with increasing stock prices.  And growing stock…

 

What do zero interest rates do for the economy? Part 1

Oct 27th, 2015 Economics, Government, Money, Regulation, Stock Market Bill B. May 3 min read

by Bill B. May The Federal Reserve along with many economists believe the theory that if interest rates are low, that will help business and consumers so that the economy will flourish.  This theory is widely accepted but is it true? In this article, we won’t delve into how the Federal Reserve controls interest rates but they do, even if it isn’t a direct regulation of rates. …

 

Economic Bubbles and Crashes

Sep 20th, 2015 Business, Economics, Government, Money, Stock Market Bill B. May 3 min read

Sometimes the economy crashes; nobody seems to know exactly why.   People blame the crashes on bubbles, like housing which was a segment of the economy that became too boisterous for its own good.  Nobody knows why that  happens (or at least most people don’t know) and nobody knows how to prevent bubbles; it is just passed off as a feature of capitalism.   The business cycle, people…

 

3 Stock Market Tips from an Economist

Sep 10th, 2015 Economics, Stock Market Bill B. May 1 min read

Robert P. Murphy says:   Use Economics to Think More Clearly about the Stock Market  Recent volatility has Americans talking about the stock market — and getting a lot of things wrong in the process. Let’s discuss some general principles to help clear things up.