Some milestones are auspicious. Others are not. This week, the Treasury announced that the federal government’s debt had topped $40 trillion for the first time. Government debt is nothing new, but the problem is now of more concern, for two reasons. First, the scale has grown. An apples-to-apples [...]
Navigating Washington’s war of words
Earlier this week, the Federal Reserve’s Open Market Committee met and decided to lower interest rates by a quarter-point. This immediately sparked a war of words. At a press conference, Fed chair Jerome Powell took a swipe at the White House, blaming the president’s new tariff policies for an [...]
Armed and Ready
Could something like the Great Depression happen again? During that unpleasant episode, the stock market dropped by 90%, unemployment rose to 25%, and gross domestic product fell by 30%. In making a financial plan, is this a scenario that’s worth worrying about? While no one can predict the [...]
Understanding Inflation, and Guarding Against It
Among the topics that receive attention in the world of personal finance, inflation was for many years near the bottom of the list. Between 2010 and 2019, inflation was so low, averaging just 1.8% per year, that the Federal Reserve was actually struggling to lift it. Throughout 2019, the Fed lowered [...]
The Taylor rule
If you’ve tried to buy a car or a home recently—or have even just been to the grocery store—I’m sure you’re aware how much prices have jumped over the past year. John Taylor certainly has an opinion on the topic. Taylor is a professor at Stanford University. While not a household name, he’s a [...]
