This is the third of a ten part series similar to what I did with “The Biggest Myths in Economics”. Many of these will be familiar to regular readers, but [ … ]
Category: Myth Busting
(Popular Myths of the Economy and Markets….BUSTED!
The Biggest Myths in Investing, Part 2 – The Stock Market Is Where You Get Rich
This is the second of a ten part series similar to what I did with “The Biggest Myths in Economics”. Many of these will be familiar to regular readers, but [ … ]
The Biggest Myths in Investing, Part 1 – The “Investing” Myth
This is the first of a ten part series similar to what I did with “The Biggest Myths in Economics”. Many of these will be familiar to regular readers, but [ … ]
Repeat After me: “Bonds Don’t Necessarily Lose Value When Rates Rise”
If you take a basic finance course the first thing you learn about bonds is that bond prices are inversely correlated to interest rates. So, when rates rise bonds prices [ … ]
Why The US Government Should NOT Refinance the National Debt with Longer Bonds
With a change in the US Treasury Secretary soon taking place I get to play fantasy world and imagine how I would handle the transition if I were nominated.¹ One [ … ]
How Do Indexers Do Better Than Average?
One of the more common investing myths is the idea that indexing is necessarily “average”.¹ It makes sense at first. If you bought all of the stocks in the market [ … ]
Indexing is the Result of Homogeneous Markets, not the Cause
As indexing strategies gain in popularity I am seeing a common selling point from active stock picking fund managers – the idea that more indexing creates more opportunity for active managers. [ … ]
Trump is Wrong on the National Debt
Donald Trump made some controversial comments the other day regarding the national debt. First, he said: “We’re paying a very low interest rate — what happens if that interest rate [ … ]
The Myth of Declining American Living Standards
One of the running themes of this website over the last 6 years is the idea that the US economy is not doing nearly as well as it should be, [ … ]