Best of the Week
Most Popular
1. Stock Markets and the History Chart of the End of the World (With Presidential Cycles) - 28th Aug 20
2.Google, Apple, Amazon, Facebook... AI Tech Stocks Buying Levels and Valuations Q3 2020 - 31st Aug 20
3.The Inflation Mega-trend is Going Hyper! - 11th Sep 20
4.Is this the End of Capitalism? - 13th Sep 20
5.What's Driving Gold, Silver and What's Next? - 3rd Sep 20
6.QE4EVER! - 9th Sep 20
7.Gold Price Trend Forecast Analysis - Part1 - 7th Sep 20
8.The Fed May “Cause” The Next Stock Market Crash - 3rd Sep 20
9.Bitcoin Price Crash - You Will be Suprised What Happens Next - 7th Sep 20
10.NVIDIA Stock Price Soars on RTX 3000 Cornering the GPU Market for next 2 years! - 3rd Sep 20
Last 7 days
Amazing Steps to avoid the common mistakes - 23rd Apr 21
Dow Stock Market Dow Trend Forecast Current State - 22nd Apr 21
Gold Rebounds Amid Positive Economic Reports - 22nd Apr 21
China's record first quarter fuels strong expansion in 2021 - 22nd Apr 21
Gold Price Next Key Level - 22nd Apr 21
Here's What to Look For When Hiring a Real Estate Agent - 22nd Apr 21
Ethereum EIP 1559 and Raven Coin - 21st Apr 21
Gold, USDX: The Board is Set, the Pieces are Moving - 21st Apr 21
World Economies Need to Find a Lot More COPPER! - 21st Apr 21
DogeCoin CRASH! Time to Start Mining BOODGIE Coin! Crypto Mania 2021 - 21st Apr 21
Pausing Stocks and Gold Fireworks - 21st Apr 21
Precious Metals and Miners Start of New Longer-Term Bullish Trend - P2 - 21st Apr 21
Looking For A Mortgage Broker? Here Is How To Hire One - 21st Apr 21
Amazon AMZN Stock PRIMEDAY SALE! Trend Analysis - 20th Apr 21
Stock Market Sentiment Speaks: You May Not Believe My 2021 Targets - 20th Apr 21
Stock Market Phase Two Projection - 20th Apr 21
Are Precious Metals & Miners Starting A New Longer-Term Bullish Trend? - 20th Apr 21
Inflation: First the Gain, Then the Pain… - 20th Apr 21
8 Stock Market Indicators in 1: Here's the Message of the Panic/Euphoria Model - 19th Apr 21
Gold - You Can Win a Battle, but Still Lose the War - 19th Apr 21
Will Interest Rates Rally Further Push Gold Price Down? - 19th Apr 21
Gold Fireworks Doubt the Official Inflation Story - 19th Apr 21
YuanPay Team Discuss The Process Of Crypto Diversification - 19th Apr 21
Central Banks May Ramp Up Gold Buying - 18th Apr 21
How to Get Rid of Driveway Weeds With Just WATER! 6 Months later NO Weeds, Ultimate Killer! - 18th Apr 21
State of the European Markets - DAX, FTSE, CAC, AEX, SMI, IBEX 35, S&P/MIB, Euro Stoxx 50, RTS - 18th Apr 21
Einvestment Fund: What You Need To Know About Investments - 18th Apr 21
Google Alphabet (GOOG) AI Deep Mind Stock Trend Analysis - 17th Apr 21
Stocks and Bonds Inflationary Slingshot - 17th Apr 21
Best Smartphone Selfie Stick Tripod Review by ATUMTEK Works with Samsung Galaxy and Iphone - 17th Apr 21
How to Give Budgie's First Bath | Easy Budgie Bathing and Water Training with Lettuce - 17th Apr 21
Record-breaking Decrease in New Passenger Vehicle Sale in Europe - 17th Apr 21
US Stocks Climb A “Wall Of Worry” To New Highs - 16th Apr 21
Gold’s Singular Role - 16th Apr 21
See what Anatomy of a Bursting Market Bubble looks like - 16th Apr 21
Many Stock Market Sectors Are Primed For Another Breakout Rally – Are You? - 16th Apr 21
What Skyrocketing US Home Prices Say About Inflation - 16th Apr 21
Still a Bullish Fever in Stocks? - 16th Apr 21
Trying to Buy Coinbase Stock on IPO Day - Institutional Investors Freeze out Retail Investors - 15th Apr 21
Stocks or Gold – Which Is in the Catbird Seat? - 15th Apr 21
Time For A Stock Market Melt-Up - 15th Apr 21
Stocks Bull Market Progression Now Shows Base Metal Strength - 15th Apr 21
AI Tech Stocks Buy Ratings, Levels and Valuations - 14th Apr 21
Easy 10% to 15% Overclock for 5600x, 5900x, 5950x Using AMD Ryzen Master Precision Boost Overdrive - 14th Apr 21
The Current Cannabis Sector Rally Is Pointing To Another Breakout - 14th Apr 21
U.S. Dollar Junk Bond Market The Easiest Money in History - 14th Apr 21
The SPY Is Nearing Resistance @ $410… What Is Next? - 14th Apr 21
The Curious Stock Market Staircase Rally - 14th Apr 21
Stocks are Heating Up - 14th Apr 21
Two Methods in Calculating For R&D Tax Credits - 14th Apr 21
Stock Market Minor Correction Due - 13th Apr 21
How to Feed Budgies Cucumbers - Best Vegetables Feeding for the First Time, Parakeet Care UK - 13th Apr 21
Biggest Inflation Threat in 40 Years Looms over Markets - 13th Apr 21
How to Get Rich with the Pareto Distribution - Tesco Example - 13th Apr 21
Litecoin and Bitcoin-Which Is Better? - 13th Apr 21
The Major Advantages Of Getting Your PhD Online - 12th Apr 21
Covid-19 Pandemic Current State for UK, US, Europe, Brazil Vaccinations vs Lockdown's Third Wave - 12th Apr 21
Why These Stock Market Indicators Should Grab Your Full Attention - 12th Apr 21
Rising Debt Means a Weaker US Dollar - 12th Apr 21
Another Gold Stocks Upleg - 12th Apr 21
AMD The ZEN Tech Stock - 12th Apr 21
Overclockers UK Build Quality - Why Glue Fan to CPU Heat sink Instead of Using Supplied Clips? - 12th Apr 21 -
What are the Key Capabilities You Should Look for in Fleet Management Software? - 12th Apr 21
What Is Bitcoin Gold? - 12th Apr 21
UK Covd-19 FREE Lateral Flow Self Testing Kits How Use for the First Time at Home - 10th Apr 21
NVIDIA Stock ARMED and Dangeorus! - 10th Apr 21

Market Oracle FREE Newsletter

FIRST ACCESS to Nadeem Walayat’s Analysis and Trend Forecasts

The Economy

Politics / Recession 2008 - 2010 Apr 10, 2009 - 01:31 AM GMT

By: LewRockwell

Politics Best Financial Markets Analysis ArticleJohn Liechty writes: To date I have twice been robbed of lots of money (or what seemed like lots of money). The first theft occurred overseas when I was at a dinner party. Someone must have seen me at the bank withdrawing cash, and followed me home. Later that night the same someone crawled through an unlocked window and headed straight for the bank envelope. The moral was plain (not that I mastered it) – lock your house and don't be an ass. The latest theft occurred in my native country. I learned about it when a piece of paper arrived suggesting that my "investments" were melting like cotton candy in a squall.


Both losses irritated me, not so much because of the missing money as because of the fact that my own negligence and stupidity were primary factors. All in all, the second rip-off irritated me more. The robbery of money from my house was, so to speak, a good honest crime. Somebody went to the trouble of watching the bank, tailing me home, and crawling through my window. For his enterprise, the thief ended up with a wad of what had recently been mine. Who knows, maybe he repented and sent the money to UNICEF. Maybe he used the windfall to go to seminary, or study ethics or post-modern semiotics, or anything to make the world a better place. I hope so. On the other hand, my thief likely just went off on a colossal bender. That's what I would have done. One way or another, the cash got spent.

The latest theft was less straightforward, and I am not evolved enough to understand it. You need a PhD in economics or years of government service to really grasp money-melting. What embarrasses me most about the disappeared funds is that "investing" was never my idea. I understand money in cigar boxes and gold bangles on wrists. But I allowed myself to be steered against my instincts. What did the investments mean? I never knew. For a while it looked like I was making money by doing nothing. I suppose I was supposed to feel good about that, but I didn't. It didn't make sense. Spreadsheets started coming in the mail, but they didn't make sense either, as I never learned to read them. Meanwhile that figure – my net worth – kept going up. It gave no real pleasure, it was just a number, but by God it kept going up. Then one day I opened an envelope to find that my fiscal boner had, as we used to say in junior high, popped.

My dictionary defines economy as: "Careful, thrifty management of resources, such as money, materials, or labor." That strikes me as all anyone could possibly need to know on the topic. But there are several additional points on Economy that I think I understand, and I will belabor them all. One is Chapter One of Walden . I admire the way Thoreau knows where every penny went. Economy, he says, is simply a matter of attending to basic needs – Food, Shelter, Clothing, Fuel – as well as a constant matter of attending to the concept of Enough. The total expenditure for his first year at Walden Pond came to $61.99 3/4¢. (He made most of it back.) Thoreau clearly cherished that quarter cent short of $62. "I can live on board nails," was his comment to the skeptics. "If they cannot understand that, they cannot understand much that I have to say." If we understood living on board nails, we might be less disposed to understand living on bailouts.

Another literary lesson in economics simple enough for me to grasp is the famous precept of Dickens' Mr. Micawber: "Annual income twenty pounds, annual expenditure nineteen pounds and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery." In other words, don't spend more than you have…. This is not, in the overextended cliché of the age, rocket science. And yet it is a concept beyond the walnut brain of the stegosaurus we refer to as government, which feeds on war, debt and waste, result misery.

And finally, a practical lesson in economy that has stayed with me over the years. When I was 15, I was invited to catch chickens by a friend. His great-uncle and mine, a man who made Thoreau look like a wastrel, was running the operation. We showed up well after dark on a hot July night, and were released among the fowl. The broiler-house was appropriately broiling. And the smell was unique. Shit stinks, of course, but stink is not a pungent enough verb for what chickens do. We sweated and gasped through swirling feathers and dust until the last bird was on the truck.

When at last I went crawling up to my great-uncle, embraced his shins, and kissed his feet, I was under the impression that I deserved to be made rich. The great-uncle reluctantly peeled three limp dollars off a roll and let me have them. He said I'd worked somewhere in the vicinity of an hour, and I'm sure he was right. I went away from there understanding something about economy. Those were three dollars I did not spend lightly, nor did I let anyone steal them.

John Liechty [ send him mail ] currently teaches in Muscat, Oman.

http://www.lewrockwell.com

© 2009 Copyright LewRockwell.com - All Rights Reserved
Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules