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Oil Production: Brazil Making the Wisest Choice of All

What is happening in Brazil is not a "wise choice" but rather a grab for wealth by certain groups within Lula's party (the PT, or Workers' Party). More than 50% of Petrobras' shares are privately owned (although the government retains control, as it owns most common shares). This means Petrobras is seen with suspicion by many leftists in the Lula administration. Besides, Petrobras is already controlled by certain groups and political parties within the Lula administration, and other groups would like to share the gravy. So one day we are told that Petrobras will have the role of running all projects in the pre-salt area, but a few months ago Petrobras was in danger of getting kicked out as a new entity would be created that would have the rights to that area. We don't know what deals are being cut in the background between these groups. And things keep changing. It is hard to tell how it is going to end, especially considering the next presidential elections will take place next year and it does not look good for Lula's candidate (she is undergoing therapy for lymphoma and has a high level of rejection). But whatever is happening there is nothing "wise" about it. It may turn out well for Brazil but that would be just an accident.

Amazon/Overstock Gamble May Pay Off

I lived in Connecticut until 2005. In 2004 I received a letter from the tax authorities informing me (and millions of state taxpayers) that we would have to pay taxes on all online purchases of items that would be used in Connecticut (?!). If I remember correctly it was called a "use tax." This was not restricted to Amazon.com or to retailers that had a presence in Connecticut. If CT can get away with this then NY will surely get away with taxing Amazon.com.

Historic Financial Collapse Underway?

This article starts well, but ends badly. I don't want to be critical, as I agree with a lot of what the author wrote. But there are quite a few absurdities. For example,

" the track record of every experiment with fiat money is 100% perfect: In every case, the currency regime was eventually destroyed by an inflationary crisis."

I don't know if the author ever heard of countries like the United States of America, UK, Japan, France, Germany, Sweden, etc. that have had fiat money for a long time and their currency regimes were not "eventually destroyed."

Another factually incorrect statement:

"No government in history has ever repaid debts as large as those already assumed by our government (in terms of GDP)."

Even if the US assumes the whole $5 trillion of Fannie and Freddie's debt, having a total (100%) loss on their assets, the public debt would still be less than 150% of GDP. Several countries repaid debts larger than that (with a little help from inflation), including the United Kingdom, which emerged from WWII with debt in excess of 200% of GDP. Chile is another example. The US debt problem is manageable if action is taken. Of course, if the country continues in its current direction debt repudiation, either through inflation or outright default, is inevitable.

Why is Accenture's Market Cap Less Than Infosys'?

FWIW, here is what the Value Line says about this issue:

Common shares: 811.6m (includes 184.9m class X shares)

And in a footnote: Including class A shares, class X shares and rest. (?) shares (related to class A). Class A shares have one vote, dividends, Class X shares have one vote, no dividends.

And further down:

There are 867.3m fully diluted shares

Three Reasons Not To Buy Journal Register Company

Sounds like the right trade is to go long a straddle.

Why Investors Should Be Interested in Shale Oil

I am not sure the figure (0.8 to 1.7) on ethanol's EROI is accurate. I heard that sugarcane ethanol can have an EROI as high as 6. (I am no expert, admittedly)

Is Oil Sliding or Just Slipping?

Anyone who thinks Iran could even dream of launching a surprise attack on Iraq and Kuwait is hopelessly insane.