At the same time the government is running trillion-dollar annual deficits

When the Fed must, in Chairman Ben Bernanke's words, begin "removing liquidity," by selling bonds, the external debt of the federal government will rise and the Treasury will then have to pay interest on that debt to the public. Selling a trillion dollars of Treasury bonds on the market—at the same time the government is running trillion-dollar annual deficits—will drive up interest rates, crowd out private-sector borrowers and impede the recovery. Debt-service costs to the Treasury will spiral as every 1% increase in federal borrowing costs add $100 billion to the annual budget deficit.

Freedom and security never walk together.

Freedom and security never walk together.

Protection has always liberty restrictions.

Economic security with economic self-determination is a fantasy

Printing money to gamble with derivatives indexes

Printing money to gamble with derivatives indexes focused on investment-grade and junk-bond corporate debts is a smart way to transfer money from tax-payers to financial institutions.

Interesting, successful people rarely lead orderly, linear lives.

Read obituaries. They are just like biographies, only shorter. They remind us that interesting, successful people rarely lead orderly, linear lives.

Sharing and competition

Life is not about sharing.

It is about competition.

Life is incredible competitive.

The chorus of people telling you the opposite are  hypocritical liars.

The tough realities of competition for success create winners and losers.

The reality is that the competitive world is every year harder.

Demographic trends will increase portfolio returns.

Good News for Boomers

Demographic trends will increase portfolio returns.

As retirees live longer and keep stocks and bonds , there will be younger investors trying to buy those securities, keeping prices up.

Meanwhile, weak demand from boomers and a big supply of unemployed workers will bring down the prices of goods and services the boomers need.

When something of value is free

When something of value is free, it runs out fast and only the well connected get any.

Interest rates at zero cause cheap credit for those with special access but shortage for small business.

Keeping rates artificially low makes the bond market useless as indicator of risk across the economy.