Tag Archives: money

Gas Prices: The Difference a Month Makes

I decided it was time to delete some of the pictures stored on my iPhone. As I was going through my collection I found these two taken at my local gas station. I have a habit of snapping pictures when I’m at gas stations, I like to keep track of the prices. Imagine my surprise when I noticed these pictures were taken roughly 30 days apart.

It makes you wonder what the next 30 days will have in store for the consumer. How much longer until we can’t afford to leave the house? The supply shock coming from the Middle East is hard on us now but I’m glad to see it didn’t get worse.

So what next? More political turmoil? More inflation? The world will find out soon I’m sure.

Japan to Respond to Disaster with Inflation

Yikes, according to the Dow Jones Newswire Japan is set to flood (no pun intended) its market with fresh currency:

The Bank of Japan plans to pump “massive” funds into markets on Monday in a bid to help them stabilise following a catastrophic earthquake and devastating tsunami.

While water is immediately destructive to people and property – this is the kind of practice that tends to destroy countries in a more long-term way. The economy of Japan was already struggling before the quake, adding “liquidity” won’t do much to help. I believe this is only going to weaken an already unstable area.

Once Again, Buy Nickels

I’ve been telling people to allocate some savings in the form of everyday nickels. Why? Because they contain 75% copper. Copper is rising in price daily which means your $0.05 nickel is actually worth something closer to $0.08 which makes it a great way to “invest”.

If you are asking how you “make money” on something like this the short answer is go long on nickels. Buy up or collect a bunch of them, save them for a rainy day. Some nickels and other coins from the 40′s, 50′s, and 60′s are now selling for close to $2 a coin, that’s a huge profit if the legal value is $0.10 or something. This price increase is largely based on metal content per coin. Future coin collectors will buy the nickels of today down the road at collectors prices.

I project that nickels will begin to vanish from the market (Gresham’s law) as people begin to hoard them. Once they vanish you will then see the collectors market take off for these nickels. Right now the US Mint is subsidizing your metal and commodity purchases, take advantage of this! It won’t be available for much longer.

Alan Greenspan Give Me a Break

From Economic Policy Journal:

According to Greenspan’s new theory, note our spies, it seems he blames the crisis on a lack of investment in “illiquid” assets in relation to cash flows. This ratio of “illiquid” investment to cash flow fell to its lowest level in the first in quarter of 2010. If this ratio remained at or around its historic norm, Greenspan claimed the unemployment rate would be much lower.

Greenspan needs to look no further than his irresponsible and disgraceful policies to find the root and cause of the market collapse. His massive money printing counterfeiting and artificially low interest rates sent the market into a tail spin. Government decided everyone should own a house and opened the flood gates. This is textbook Austrian Business Cycle Theory, a Keynesian inflationist wouldn’t understand though.

Pathetic. We’ve had quite enough Alan.