This talk features Harvard Professor Nials Ferguson.
I frankly love everything he's stating.
America is in decline in both capital power and influential (Soft) power.
Mathematics is in decline throughout the country
Changes to world landscape can occur within a generation, nearly overnight by historical
standards.
and YET he says, it's not too late.
America needs to drive the two things it's good at :
Innovation and Entrepreneurialism
The real question is, can America DO just that with a crushing deficit before the bond market decides it's had enough?? Take a listen.
Thursday, September 30, 2010
Monday, August 23, 2010
GPU's being used to accelerate computing
Where are my finance heads at??
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1431.html
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1203.html
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1003.html
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1431.html
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1203.html
http://nvidia.fullviewmedia.com/GPU2009/1001-atherton-1003.html
Sunday, August 8, 2010
Wednesday, July 28, 2010
Quick Comment on bond market
Seems rates keep getting pushed down, while the market is wondering : "Why lend money to the United States?"
Pimco, the largest Bond Fund in the world, founder Bill Gross states the following at http://online.wsj.com/article/SB10001424052748703940904575395010745696880.html
Pimco's Gross: Better Uses for Government Spending
By MATT JARZEMSKY
Government spending that seeks to artificially boost consumer spending "can be compared to flushing money down an economic toilet" and will be hampered by demographic trends, said famed bond-fund manager Bill Gross.
Mr. Gross, in his monthly missive on the website of Pacific Investment Management Co., a unit of Allianz SE, argued that governments instead should focus on improving infrastructure, clean energy and education as well as creating less costly health care.
"Capitalism depends upon final demand and that if there ever comes a time when population growth slows, then the world's most efficient economic system will be tested," he wrote.
He warned that the current pace of 1.15% annual global population growth is slowing, and referenced modern-day Japan and the U.S. and Europe in the 1930s as examples of slowing population coinciding with a economic downturn.
A mix of fewer new consumers in terms of total population, and a growing number of older ones who don't spend as much money as new consumers will slow economic growth more than otherwise, he said.
Mr. Gross said decelerating population growth since the 1970s likely was a key factor in the leveraging of the developed world's financial systems and the ballooning of total government and private debt as a percentage of gross domestic product. "Lacking an accelerating population base, all developed countries promoted the financing of more and more consumption per capita in order to maintain existing GDP growth rates," he added.
Deficit spending that seeks to maintain an artificially high level of consumer spending should be replaced by other efforts aimed at structural change, he said. Governments that do otherwise will be left "waiting for the flush, with very little success," he said, referring to an automatic toilet whose eye fails to recognize the user has finished and gotten up.
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My thoughts are, as people are aging they are getting out of riskier asset classes and pushing into the one thing they think is a sure thing, US Treasuries. What this is doing is giving the current generation some breathing room to keep the dollar stronger.. but anyone who has some sense is looking at this no-yield area and asking.. WHY?
Talk of coupon clipping and corporates, especially foreign currency prices coupons are attractive in yield AND balance sheet position. Canada, Latina America, Asia.. all these countries do not have the debt overhang that the US, Japan, and UK have. When this bubble of bubbles rolls over, I do NOT want to be in it's wake.
Question is just.. when will the market tune in to the lack of yield on treasuries in the US.
Pimco, the largest Bond Fund in the world, founder Bill Gross states the following at http://online.wsj.com/article/SB10001424052748703940904575395010745696880.html
Pimco's Gross: Better Uses for Government Spending
By MATT JARZEMSKY
Government spending that seeks to artificially boost consumer spending "can be compared to flushing money down an economic toilet" and will be hampered by demographic trends, said famed bond-fund manager Bill Gross.
Mr. Gross, in his monthly missive on the website of Pacific Investment Management Co., a unit of Allianz SE, argued that governments instead should focus on improving infrastructure, clean energy and education as well as creating less costly health care.
"Capitalism depends upon final demand and that if there ever comes a time when population growth slows, then the world's most efficient economic system will be tested," he wrote.
He warned that the current pace of 1.15% annual global population growth is slowing, and referenced modern-day Japan and the U.S. and Europe in the 1930s as examples of slowing population coinciding with a economic downturn.
A mix of fewer new consumers in terms of total population, and a growing number of older ones who don't spend as much money as new consumers will slow economic growth more than otherwise, he said.
Mr. Gross said decelerating population growth since the 1970s likely was a key factor in the leveraging of the developed world's financial systems and the ballooning of total government and private debt as a percentage of gross domestic product. "Lacking an accelerating population base, all developed countries promoted the financing of more and more consumption per capita in order to maintain existing GDP growth rates," he added.
Deficit spending that seeks to maintain an artificially high level of consumer spending should be replaced by other efforts aimed at structural change, he said. Governments that do otherwise will be left "waiting for the flush, with very little success," he said, referring to an automatic toilet whose eye fails to recognize the user has finished and gotten up.
-----------------
My thoughts are, as people are aging they are getting out of riskier asset classes and pushing into the one thing they think is a sure thing, US Treasuries. What this is doing is giving the current generation some breathing room to keep the dollar stronger.. but anyone who has some sense is looking at this no-yield area and asking.. WHY?
Talk of coupon clipping and corporates, especially foreign currency prices coupons are attractive in yield AND balance sheet position. Canada, Latina America, Asia.. all these countries do not have the debt overhang that the US, Japan, and UK have. When this bubble of bubbles rolls over, I do NOT want to be in it's wake.
Question is just.. when will the market tune in to the lack of yield on treasuries in the US.
Sunday, July 25, 2010
New youtube channel is up
Please go comment there, and most of all spread the word on this new venture. Hopefully we can help people zone in on their true passion.
Thanks,
Tuesday, June 29, 2010
Sunday, June 20, 2010
The ineptitude and perhaps blind faith of the government in itself.
The government is made up, after all, of emotional human beings. They can be rational, if it suits them. What suits a politician? besides Armani.
By the way I've been hoping to order more technical books. If anyone has a recommendation on Python 3.1+ programming I'd love to hear it. Leaning towards this one, but hoping it's not too far ahead of my ability to understand the basic syntax (it's been a while).
On that note, an interesting look back at a man who used to run the free world's economy.
His new op-ed piece in the WSJ is here
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