“ ‘Google before you tweet’ is the new, ‘think before you speak.’ ”~ Jonathan (Jon) Parker, via Joe Newton [Best attribution I can find – Mike].
As a layperson, I have serious doubts about the ‘Big Picture’ economic, tax policy and financial opinions of Anthony Scaramucci. (The Curious Case of Negative Interest Rates, By ANTHONY SCARAMUCCI (NY Times Dealbook), MAY 8, 2015)
Notwithstanding that Mr. Scaramucci is richer, more famous, and better-looking than I am, I still think his premises are flawed or simply wrong, and his conclusions are thus similarly wrong.
My eyebrows first rose when his new definition of “negative interest rates” began to sound a lot like the old concept of “deflation”.
“Negative rates imply that the money in your pocket today will buy more goods tomorrow. Think of money as just another fungible asset: A $20 bill today is still a $20 bill tomorrow or two $10 bills a year from now. Interest rates, on the other hand, reflect the opportunity cost of spending that money today relative to tomorrow. When rates are negative, the $20 bill is still worth four $5 bills in the future, but its utility value (i.e. what it buys) increases with time.”
My doubts were further fed by this absurd-on-its-face statement:
“John Keynes, you see, was actually wrong. His famous utterance, “In the long run, we are all dead,” isn’t true. Like it or not, the long run is upon us, and we are all very much alive (aside from Keynes).”
Mr. Scaramucci obviously misses the point here: In the long run, Mr. Keynes died. In the long run, Mr. Scaramucci will die. That he fails to grasp this point does not bode well for his further ruminations. Continue reading
Because I always consider voting and elections to be serious topics, I thought it might be useful to post some of the references and notes that I used for the May 29th show. Some of the points were not addressed during the show due to time. – Mike
Thinkwing Radio with Mike Honig continues with my next scheduled show on May 29th (Tuesday at 9:30-9:55 am CT) on KPFT in Houston (90.1 FM). You can listen live when the show is on-air by clicking here: Listen Live (32k)
The date for this show was set far in advance, but by serendipitous political chance, it also turned out to be on Texas Primary Election Day. I’ve decided to do something apropos.
The tentative topic will be … Elections! How close they can get, and how to motivate voters and potential voters to participate in them.
I recently received a typical self-laudatory and self-justifying email from one of my Texas Senators, John Cornyn. (Reproduced at the bottom.) Below is my response, posted to his office via his official web site.
Dear Senator Cornyn,
We do not need a balanced budget amendment.
We need senators and representatives who can do their jobs. Leaders who know when to raise taxes, and when not to. Leaders who put country ahead of party and politics. Leaders who don’t make defeating their political opposition “the number one priority”, ahead of jobs, the nation’s debt rating, or our country’s future.
I have just one number to say to you: 1937.
You, sir, are among the worst examples of Republican “party first” politics.
You should be ashamed of yourself and your party. Continue reading
by Michael R. Honig
It’s sometimes interesting what you can learn from old movies. That’s why I enjoy watching them, even when they otherwise have only modest artistic merit.
Such was the case with a film I watched last night (previously recorded by my TiVo on TCM; bless you, TCM, for being the only place to see these old, sometimes-great, but almost-always interesting films!), called The Dark Horse (1932).
Maybe it’s the Mayan calendar apocalypse, maybe it’s the double-dip depression, maybe it’s just the Tea Party, but you may want to have this shirt.