In Greek mythology, the sirens lived on an island, Sirenum Scopuli, and lured sailors to shipwreck on its rocks with their enchanting songs. Socialism is the Sirenum Scopuli of modern civilization. It is incredible to me that socialism remains appealing to so many people, given that it has always failed miserably no matter where it has been tried. It failed the Pilgrims and almost led them to starvation. Today’s poster child is oil rich Venezuela with its despotic ruler, hyperinflation, chronic shortages and fleeing population. Socialism, where the government controls the means of production, takes away personal liberty and choices. … Read More

There are many inscriptions over the doors of the congressional buildings. However, the most important one is missing. It is “Abandon hope all ye who enters here.” The reason being that no congress – and no president – is serious about limiting the rate of growth in federal spending. The latest episode was when the president signed the budget bill and then admonished the congress for being so profligate. The president sought to hold back a meager $15 billion – which is not even a rounding error – and the republican controlled senate refused to endorse it. It is as … Read More

President Trump has said repeatedly that “We lose $800 billion a year on trade”. Excuse me? If that were the case, we would not trade. Apparently, the president is equating a trading deficit to a loss. Others would opine that we actually are better off having that trade deficit. Moreover, the president has stated that we are running a trade deficit with Canada. However, Canadian data show that the US is running a trade surplus with Canada. But are trade deficits good or bad? It depends. A search of the web will show evidence that supports both views. The same … Read More

I am no expert on the stock market. For that you need to read my colleague David Moon. However, I do have an opinion as to why the stock market has increased in volatility. Last month saw dramatic swings in the market. In one week, the markets swung over 1,000 points daily and changed directions over 50 times. By the end of that week the markets ended up. The experts said that during the week, the market entered “correction territory” intimating that stocks were over-valued which past Fed chairman Allen Greenspan referred to as “irrational exuberance”. No better cases for … Read More