Tag Archives: Economics

Today is the 50th anniversary of the “Nixon shock”, the day President Richard Nixon closed the gold window and ended the post-WWII Bretton Woods currency agreement. That agreement, largely a product of John Maynard Keynes, pegged the dollar to gold and most other currencies to the dollar. It wasn’t a true gold standard as only other countries that were party to the agreement could demand gold in exchange for their dollars, but it was at least a standard of some...

Part II of II, by Claudio Grass, Hünenberg See, Switzerland Why Switzerland? There are many good reasons that could easily explain the flock of so many wealthy families and investors to Switzerland and all of them have been reinforced by the pandemic. For one thing, the local measures that were adopted to contain the virus were far less restrictive than those that were enforced in Germany, France, Italy or the UK. Business activity, freedom of movement, freedom of speech, all...

Part I of II, by Claudio Grass, Hünenberg See, Switzerland The covid crisis, and especially the destructive governmental responses to it, have wreaked havoc with the global economy and with our societies. However, the chaos and the widespread uncertainty that prevailed over the last year and a half also served as a useful reminder of the importance of stability, legal predictability and limited state powers.  A great number of High Net Worth Individuals (HNWIs) seem to have...

Previously, we discussed Modern Monetary Theory (MMT) and its one limitation of inflation. However, as is always the case when “theories” collide with “reality,” the tenants of the theory are quickly discarded. There is no doubt that since 2020 both Republicans and Democrats alike have shunned fiscal responsibility for the short-term gratification of MMT. Ms. Kelton tweeted such earlier this year. The writing is hilariously on the wall here, but people want to...

In our July 29 post titled How Gold Stacks Up Against Stocks, Property, Commodities and Big Macs! we showed readers charts of gold as a ratio to other assets and products. We discussed that gold competes with crypto and stocks for the investment dollars. It was clear that gold as a ratio of the S&P 500 Index and of the broader MCSI World Equity Index show that gold is ‘relatively cheap’ compared to these measures. But then we showed that this wasn’t the...

When Should Governments Ban Bitcoin? When should governments ban new technologies? Watch on Rumble ““When Should Governments Ban Bitcoin?”  [embedded content] You Might Also Like SNB Sight Deposits: Inflation Fear Decreasing, SNB Selling Euros 2021-08-04 Sight Deposits have fallen: The change is -0.2 bn. compared to last week, this means the SNB is selling euros and dollars....

[unable to retrieve full-text content]Part II of II by Claudio Grass, Hünenberg See, Switzerland Case in point: Silver “apes”  One of the most astounding elements of this shift in retail investing is the proof it offers for what many of us knew along: When people can freely and directly vote with their wallets and put their money where their mouth is, one gets a much clearer picture of what the public, the market or any other large group really thinks and...

Part II of II by Claudio Grass, Hünenberg See, Switzerland Case in point: Silver “apes”  One of the most astounding elements of this shift in retail investing is the proof it offers for what many of us knew along: When people can freely and directly vote with their wallets and put their money where their mouth is, one gets a much clearer picture of what the public, the market or any other large group really thinks and really wants. In this case, we first saw the wrath against...

Part I of II by Claudio Grass, Hünenberg See, Switzerland 2020 certainly was a year of a lot of “firsts”, most them extremely destructive to the economy, to our societies and to our everyday lives. However, there were a few positive developments too, among them being the fact that it was the year that ordinary people discovered and entered financial markets. Until last year, the world of trading and investing had long been closed to the average citizen, taxpayer,...

Part I of II by Claudio Grass, Hünenberg See, Switzerland 2020 certainly was a year of a lot of “firsts”, most them extremely destructive to the economy, to our societies and to our everyday lives. However, there were a few positive developments too, among them being the fact that it was the year that ordinary people discovered and entered financial markets.  Until last year, the world of trading and investing had long been closed to the average citizen, taxpayer, and saver....