A detailed look at what QE is, how it worked, and how it has inflated share prices without helping the economy.
Tag: investment
How rising wealth inequality, leading to dramatic growth in institutional cash pools, has led to an unbalanced and unstable economy.
How the rise in wealth inequality means that households now borrow from businesses, not the other way around.
What is “repo” and what is its connection to the rise in wealth inequality and economic instability?
Where do institutional cash pools come from, and why does it matter?
This is the first anniversary of the blog, and as it happens I’ve just finished 3 months of posts on one subject and am about…
A summary of this section of the blog.
A forensic examination of a stylised company’s balance sheet, to show that business saving should, in fact, be the true source of investment.
An explanation of the “Efficient Market Hypothesis” – the belief that markets will always price financial assets correctly.
What is the “fundamental value” of a financial asset?