The recent post on who owns the Federal Reserve caused all the standard responses: I am an idiot. I am a shill for the Fed. The Fed is owned entirely [ … ]
Category: Myth Busting
(Popular Myths of the Economy and Markets….BUSTED!
Who Owns the Federal Reserve?
Good question here in the Ask Cullen page. I get this one a lot so it’s worth some detailed explanation. First, it helps to understand what the Fed really is. [ … ]
Debunking “The Biggest Scam In The History Of Mankind”
A reader forwarded this video on to me. Apparently it’s gaining quite a bit of traction online. The video is called “The Biggest Scam in the History of the World [ … ]
Can We Stop with the “Socialism” Nonsense Already?
I see an alarmingly high number of commentators and pundits referring to the USA as some sort of failed socialist state these days. Obviously, the healthcare debate has much to [ … ]
Inflation is NOT Necessarily a “Different Form of Default”
Every time I point out that the US government is a contingent currency issuer the same inevitable response always pops up where someone says that printing money is really no different than what inflation is because inflation is just a “different type of default”. This can be very misleading. Let me explain.
Understanding why Austrian Economics is Flawed
Austrian Economics is a small school of mostly online Libertarian commentators that has gained popularity due to its large internet presence. The school has relatively little academic support and mainstream [ … ]
The VIX – It’s Not Really Much of a “Fear” Gauge
Every time the market starts to dip a little bit the media starts going on and on about the the Volatility Index which is widely reported as the “fear gauge”. [ … ]
On Leaving Banks out of Macro & the Myth of the Fed’s Archimedean Lever
I focus quite a bit on banks in my work. My entire view of the economy and monetary system starts by understanding what is. By understanding the institutions and entities [ … ]
What Is the Biggest Mistake When Evaluating a Fund?
There was a good piece in the WSJ about fund selection yesterday. They interviewed some great advisors. The answers were mostly the same – watch past performance, watch fees. [ … ]