The Cardinal Sin of Personal Finance

This is a guest post from Kevin, who blogs at Personal finance is pretty common-sense stuff if you think about it. Yet, the majority of the public fails to implement this common sense into their daily lives. For instance, I believe the cardinal sin of personal finance is borrowing money to pay for a […]

How To Take Advantage of Rising Interest Rates

As the economy recovers, interest rates will start to increase. To many, rising interest rates are a bad thing because they lead to higher rates on mortgages, auto loans, and credit cards. Although it’s true that higher rates can hurt, rising interest rates can also be a good thing because you can earn a greater […]

Economic Bubbles: What They Are, Why They Happen, and Why You Should Care

You don’t need a Ph.D. in economics to know that economic bubbles—and their ensuing POPS!—can take us all for a wild ride. Bubbles occur anytime asset prices appreciate unrealistically; and they happen more often than we think. In the United States alone we have seen two in the past twenty years: The dot-com bubble in […]

Waging War on Wall Street?

Just over a week ago, the Obama Administration waged war on Wall Street. President Obama has proposed financial reform that would limit the size and activities of the largest U.S. banks by separating proprietary trading, hedge funds, and private equity operations from banking (taking deposits and making loans). Theoretically, these reforms would simultaneously reduce the […]

The Inverse Relationship Between Gold And The Dollar

Gold has been one of the hottest topics in the investing world in recent months, and with good reason. In 2009, investors received a 25 percent return on gold—the biggest absolute annual gain in three decades. Arguably, gold’s nine-year streak of positive returns is even more impressive. If you’re considering whether to invest in gold, […]

Why Recessions Are Good For Our Economy

I know what you’re thinking: How can high unemployment rates, declining stock markets, and having less cash in your wallet be good things? We like to think that in a perfect world, we would never have to endure the hardships associated with economic downturns like lost jobs, watching our 401(k) accounts dwindle, or worrying about […]