wavelength

Niall Ferguson: Dollar Is Doomed, U.S. Empire Over

It is true that the British acheived some great breakthroughs at Bletchley Park and did indeed crack some of the German ciphers. However, the Germans also used many "one-time codes" that could not be broken. The big break actually occurred because a German U boat commander allowed his code book to be captured. It is believed he was afflicted with a conscience and so deliberately let it fall into Allied hands. Perhaps we could take up the themes of "conscience", "betrayal" and "treason" in trying to understand the current actions of the Fed and the Whitehouse. The Empire is falling from within and the policies being embraced have a demonstrable track record of failure. As Angel Martin has pointed out, this is not an ideological argument - it is an historical one.

Australia Is Still Hopping Ahead of the U.S.

An often overlooked and underestimated factor is that Australia has a genuine federal reserve bank that is (largely) independent. Like an independent judiciary, this is an institution critical for the preservation of wealth and freedom, and something the US has yet to enjoy.

G20's Dominant Theme: Hypocrisy

Dear (fellow) aussiereader
Peter's alternative is a return to the free market. Also, by entering politics, it would mean that when the state does intervene, there would be at least one representative who is financially and economically literate. He is not positing the usual expensive "programs" or "solutions" because he understands govt IS the problem! You should amend your post to read "it is easy to tax and spend, it is difficult to create under a punitive, confiscatory regime that is hostile to business". Peter doesn't have to DO anything, except continue to educate folks in financial reality vs Keynesian propaganda and fantasy. Americans, with their freedom restored, will create as they have always done.

US economy, free trade, jobs and Obama's threatened trade war

Great work Mr Jackson. As a fellow Australian-Austrian, I always enjoy your contributions. You have expressed with great erudition and clarity what I spent over an hour trying to articulate to my (American) spouse last night. I do think there is still hope for the US. The tea-partiers may not express themselves using the language of Austrian economics, but I was impressed by some of the sound-bites that showed folks wanted lower taxes so they could grow their businesses, as opposed to buy plasma tvs or engage in speculative investments. A culture of true investment can be rekindled. Folks do have some intuitive grasp of what is really wrong, but are hampered by the huge flood of misinformation and media misdirection. Your steady stream of articles clearly expounding the basics of Austrian'ism has the potential to do a lot of good, and I wish more people understood the educative value of SA in the broad sense - it is much much more than a investment message board, especially with contributors such as yourself keeping active.

Internet Advertising: Better Content, Not Behavior Targeting, Is the Answer

Great article that totally nails it. I make a good living online from a very small website that offers high quality, original, niche- focused content. My monetization model works so well because I never lose sight of the mantra that "content is king". Most of what is online does not reach the standard of "good" content - let alone "professional" or "premium". Like the author, I would not dismiss BT technolgy out of hand, but why try to get the click by reading minds, instead of simply ensuring you deliver on whatever they searched for in the first place? Small publishers who over-deliver quality content are thriving. Over-engineered BT solutions cannot compensate for a lack of substance or credibility.

Four Reasons We're Headed Even Higher

"Financial armageddon is in the rearview mirror" - ever read that little sticker that warns you about how objects in the rearview mirror may appear closer than they are? In the current world of smoke and mirrors and mark to model they may even turn out to be smack bang in FRONT of you.

Good Times for Gold Traders

Horseracing fans have a derisive expression for this kind of "strategy": "Two bob each way on nothing". My bet? The favorite is gold and I have bet my money all "on the nose" - possession of physical gold.

Why Obama's Big Spending Fallacy Could Ruin U.S. Economy

Nice to see not just excellent historical analysis but also an international perspective. As an ex-pat Australian I am saddened by the manner in which Prime Minister Kevin "profoundly ignorant of economics and economic history" Rudd's government is destroying the foundations laid by the Howard government. The only thing missing is a discussion of the Laffer curve. If the US administration is already weeping over the dip in tax receipts, well just stick around.

No One Saw This Economic Crisis Coming?

A truly GREAT article. Thank you! It is a shame more comments have not been about the accounting/financial analysis vs "economics" at the core of the article. It is like running a business without daily scrutiny of the balance sheet and ignoring financial analysis as the core skill in business management. Peter Cooper is right about the coming crash. It is not possible to outrun the fundamentals. Sure, we know that "the market can stay irrational longer than an individual investor can stay solvent". This is not the same as saying you can go on a shoping spree with an empty wallet. Reality, facts, and those nasty litle columns of figures will assert themselves in the end.

The Time Has Come to Regulate Search Engine Marketing and SEO

Almost impossible to know what to say. I could not disagree more - either with the demonization of Google, or with the notion that the Internet become another site of big Govt regulation and quasi-nationalization. I operate a small website where the majority of my webpages rank on Google's first page. I do not pay for favors from Google and I do not hire expensive SEO analysts. I follow basic SEO optimization techniques that are widely publicized and freely available, and I write GREAT CONTENT - it is this original and quality content content that Google rewards. The writer may resent that a micro business can exploit Google's bias towards quality content in order to compete so effectively with larger players, but I think this is the essence of the free market's promise. At a time when so many economic and personal freedoms are under assult it is remarkable that the writer has time to sulk about search engines. Google are self-interested, and at times may be a little heavy handed or smug. They are hardly the evil empire though. The analogy with physical space is deeply flawed, but congratulations on such a provocative article.

The Gold Market's Tech Cues

My approach is to look at a combo of BOTH technicals and fundamentals ALWAYS. However, the balance varies according to asset class. For example, I try to weigh them fairly equally when trading forex, the balance changes when looking at stocks depending on overall market and economic climate, and fundamentals get MUCH heavier weight when I consider my holdings in physical gold. In fact, although forex has taught me to love technical analysis, I cannot imagine selling gold right now, regardless of what the charts say. This was a great article in terms of explaining some key technicals. Thanks Brad. To me something like this with an educative component that folks can learn from, regardless of their agreement on particular investment decisions or directions. To me, this is Seeking Alpha journalism at its best.

Obama's Dance of the Seven Veils

I can think of more apt Oscar Wilde quotations. How about "we are all of us in the gutter, but some of us are looking up at the stars"? Neither the basic premise of this article or its inferences are worth commenting on further. One day it will be morning in America again - Pungent, please wake me when the expresso resumes flowing and the koolaid is off the menu.

Green Shoots: Starting to Wither...Soon to Die

Actually H1 visas are for skilled labor - not necessarily cheap labor. I know many find it counter-intuitive, but you can actually have a net increase in jobs with enough immigration, especially if it is of the right kind. Currently the US favors unskilled family "chain migration" giving priority to "reuniting families" instead of attracting migrants with both intellectual and financial capital. Expanded but sane immigration with a focus on folks with skills and money would actually grow the economy and is one of the very few options this administration has open to it.

Global Economic Crisis: What's Next?

Dave, you should be writing columns, not comments. Agree completely with Mr Wrixon's analysis. And much as I respect President Reagan, how refreshing to see Prime Minister Thatcher looked to as the most appropriate role model to lead us out of this mess. Even Chairman "To be rich is glorious" Deng had a better grasp of real world economics and more business acumen than current US leadership. However, one point that I think does not get enough emphasis is the fatally flawed model used for the Fed. Just as a healthy society must have an independent judiciary to enjoy a genuine rule of law, so too with reserve banks. It is possible to have a more independent (i.e. genuine) reserve bank, and it is no coincidence that countries with the most independent reserve banks, for example Australia, are better weathering this storm.

Great Recession Datapoint of the Day

Oops - meant "just not cool right now not to drink the kool aid."