Lies, Damned Lies and Government Statistics

Railcar-Loads-of-Waste.jpg

My grandfather grew up in small town Wisconsin.  He worked long hours at a community drug store to support his wife and nine kids. Their family never had much money. He never had access to the opportunities of today, and yet he was one of the wisest people I have ever known.  He taught me […]

This is What Depression Looks Like; Real Corporate Earnings Collapse – Nearly 50 Percent Below 1973 Levels

In a recent article John Williams, publisher of ShadowStats writes: “Temporary consumption gains could be fueled by debt expansion, but that option also is not available to most consumers.  With limited prospects for income growth and debt expansion in the near future, broad economic activity remains likely to bottom-bounce for the foreseeable future, while healthy, […]

Are You Smart Money?

You’ve probably heard the term “smart money” used by various investing pundits. It’s a reference to those investors (often professionals) that are consistently better informed and better at making money than the uninformed masses. What makes an investor a member of the “smart money” cadre. Are you one of them? Let’s take a look at […]

The CPI Is a Lie

Inflation is much higher than what the Bureau of Labor Statistics (BLS) claims it is. If you have recently purchased college tuition, health insurance, gasoline, or food you know this all too well. To cut the BLS some slack, they must estimate a single rate of inflation that applies to everyone.  That is an impossible […]

Ever Wondered Why Government Statistics Don’t Make Sense?

“Compound interest is the eighth wonder of the world.” – Albert Einstein Compounding interest is a savers best friend. But when the compounding is not of interest but of inflation then the debtor (i.e. our government) is the winner, and you and I, as savers, are losers. Let’s start with a graph from the St. […]