OptionManiac

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  • Jeremy Grantham throws in the towel, switching to the deflation side of the punditry. "Even if we get intermittently rising commodity prices," he says, "the downward pressure on prices from weak wages and weak demand seems to me now to be much the larger factor." Yet surprisingly, he says "fixed-income is desperately unappealing" - his favorite asset class is "U.S. high-quality stocks."   [View news story]
    Probably not a good explanation - but there are billions going into 401K plans - a majority of workers put a couple of check marks next to funds they have no clue about, and that money has to be allocated as directed. Have I made another nonsensical comment?
    Jul 20, 2010. 11:35 AM | Likes Like |Link to Comment
  • Jeremy Grantham throws in the towel, switching to the deflation side of the punditry. "Even if we get intermittently rising commodity prices," he says, "the downward pressure on prices from weak wages and weak demand seems to me now to be much the larger factor." Yet surprisingly, he says "fixed-income is desperately unappealing" - his favorite asset class is "U.S. high-quality stocks."   [View news story]
    Put that as Governments. Global - upside pressure on prices in other parts of the world will effect us.
    Jul 20, 2010. 11:17 AM | 3 Likes Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    Eh, I don't buy that premise. People didn't spend during the war because of rationing.
    Jul 20, 2010. 10:40 AM | 2 Likes Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    Yeah, the U-turn confused me too, made the whole article pointless.
    Jul 20, 2010. 10:39 AM | 1 Like Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    We have to give Rosie something to build and someone to buy it. Markets come first before anyone in the private sector will invest.
    Jul 20, 2010. 10:38 AM | 2 Likes Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    And partly paid through the Marshall Plan. Total aid paid by the US (Marshall Plan and pre Marshall Plan aid) was $25 Billion in 1950 dollars.
    Jul 20, 2010. 10:36 AM | 1 Like Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    Yes, we wanted to spread democracy and capitalism and are now reaping the effects. The outside world wants to live like us, and in order for this to happen, a global change will occur.
    Jul 20, 2010. 10:32 AM | 4 Likes Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    I agree, but as we have moved into the future, technology has made all infrastructure projects more complex. Can't just ramp up and build nuclear power plants as opposed to hydroelectric damns.
    Jul 20, 2010. 10:27 AM | 1 Like Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    So by killing a few million European and Asian consumers we were able to corner the market? We used our own money to rebuild what was left.
    Jul 20, 2010. 10:24 AM | 1 Like Like |Link to Comment
  • The Last World War Helped the Economy: Why Not Another One?  [View article]
    Yeah, but the US through the Marshall plan helped rebuild Europe, using our government bought parts.
    The author states that we spent our way out of the depression, but it won't work this time. Why not? And I question how much savings people had at that time, when 24% were unemployed at the beginning of the Depression. The government just paid the wages and pressured people to buy bonds with their earnings (think of all the patriotic posters during that time).
    I still find it difficult to believe that building things that blow up revives and economy, nobody is buying them.
    I've asked on this site a few times for ideas of why the Great Depression ended, haven't heard any decent explanations.
    Jul 20, 2010. 09:36 AM | Likes Like |Link to Comment
  • ICSC Retail Store Sales: +1.4% W/W, vs. -1.5% last week. +4.2% Y/Y, vs. 3.2% last week. The hot weather drove shoppers into stores, leading to the best year-on-year sales rise in two months.   [View news story]
    Hot weather may have driven them into the stores - I guess they must have shopped. Link didn't parse the sales. Gas prices or inflation in general certianly didn't increase the sales increase.
    Don't laugh at weather and its effect on sales. I once worked in the wine cooler business, a crappy Memorial Day weekend could wreck sales for the season.
    Jul 20, 2010. 09:07 AM | 1 Like Like |Link to Comment
  • China is now the world's biggest energy consumer, knocking the U.S. off a perch it held for more than a century, the International Energy Agency says. That status isn't likely to change, as China will require $4T in total energy investments over the next 20 years to keep feeding its economy and avoid power blackouts and fuel shortages.   [View news story]
    Right - the winner isn't who uses the most energy, the winner is who uses the least amount of energy to produce each widget.
    Jul 19, 2010. 01:11 PM | Likes Like |Link to Comment
  • China is now the world's biggest energy consumer, knocking the U.S. off a perch it held for more than a century, the International Energy Agency says. That status isn't likely to change, as China will require $4T in total energy investments over the next 20 years to keep feeding its economy and avoid power blackouts and fuel shortages.   [View news story]
    I'm pragmatic, not ideological. Careful reasoning fixes problems, not following a set of preconceived beliefs. Envelopes must be pushed to solve difficult problems. When you push the envelope, you reach a point of discomfort. Do I think Obama is apolitical, I would be very naive to say yes. He is also surrounded by political types, and opposed by political types. When I speak of science I speak of reason.
    Jul 19, 2010. 11:59 AM | 1 Like Like |Link to Comment
  • China is now the world's biggest energy consumer, knocking the U.S. off a perch it held for more than a century, the International Energy Agency says. That status isn't likely to change, as China will require $4T in total energy investments over the next 20 years to keep feeding its economy and avoid power blackouts and fuel shortages.   [View news story]
    I agree that one child per couple will greatly effect the Chinese economy in the future. Aging has hurt every mature society on this planet. No easy answers to that problem, the young can only work so hard to allocate their wages to taking care of the old, especially when the demographics edge to an older and older population. China will be hit more suddenly than other countries.
    Jul 19, 2010. 10:07 AM | Likes Like |Link to Comment
  • China is now the world's biggest energy consumer, knocking the U.S. off a perch it held for more than a century, the International Energy Agency says. That status isn't likely to change, as China will require $4T in total energy investments over the next 20 years to keep feeding its economy and avoid power blackouts and fuel shortages.   [View news story]
    Ah, why wouldn't they require more power, they have a hell of a lot more people. The US will remain tops for per capita power consumption for a long time to come. Why a race to see who can gorge the most, rather than who can produce the most widgets with the least amount of power consumption.
    I don't buy this stifling of innovation. We have an administration that has turned back to science. The bible is no longer the greatest tech book ever written. Taxes have not gone up on innovators, more regs have not been written closing down garage inventors. More paranoia.
    Jul 19, 2010. 10:02 AM | Likes Like |Link to Comment
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