What is going on in the gold market? Our favorite metal is taking a beating. Why? Manipulation by the feds? A conspiracy to discredit real money? Is there a “bubble”? Has it burst? Perhaps there’s a squeeze on long-side speculators. Or (worst-case scenario) are we seeing the start of a secular bear market?
Margaret Thatcher died on Monday. Some say she changed Britain. Others say she changed the world. How much praise or blame should the “Iron Lady” get for our modern world and its problems? I’ll leave that to the columnists and funeral orators. Instead, I take this opportunity to look at the world Thatcher helped create.
Business Insider’s Joe Weisenthal refers to a piece Stockman wrote in The New York Times over the weekend, titled “Sundown In America” (which you can read here). Weisenthal helpfully points out that David Stockman has been wrong for the last 25 years… and that anybody who thinks the way he does has probably gone broke several times since the end of the Reagan administration:
I can’t do a normal economic update today. I’m too cut off from the news to have much to say about it. Probably a good thing… considering how much claptrap there is in the daily news and opinion. Instead, I’ll respond to a question Emma put to me, the gist of which was: Just what the heck are you doing up there?
I am on the family ranch in Argentina. I always love coming here. So much of my life is spent in front of a computer screen, and so much of it devoted to dealing with things that are abstract and unknowable, that it is a delight to get on a real horse… to build something with real stone… and to feel the heat of the real sun on my back and a cold wind on my face.
We’re still thinking about how so many smart people came to believe things that aren’t true. Krugman, Stiglitz, Friedman, Bernanke – all seem to have a simpleton’s view of how the world works. They believe they can manipulate the future and make it better. Not just for themselves, but for everyone. Where did such a silly idea come from?