Finances at Work: The Time Value of Money

Finances at Work:  The Time Value of Money Whenever we are looking to understand the true value of money, it is absolutely critical factor time into the equation.  This is ultimately because $1 Dollar received today is more valuable than $1 Dollar received tomorrow.  There are a few different reasons to explain why this is … Continue reading Finances at Work: The Time Value of Money

How to Invest in Volatile and Recessionary Markets

*Posted in 2009* So you’ve lost 50% of your portfolio and wondering what to do and how you could have avoided the pain. Most are hearing sit tight, which is true, or heck, even buy, which is even more true. But is there anything you could or can do in a market that is in … Continue reading How to Invest in Volatile and Recessionary Markets

How Does Government Budget Deficit Impact Savings?

When we consider the Savings-Investment model what happens when the government runs a budget deficit and how does this impact the real rate of interest and savings (private)? To explore this question we have to revisit the GDP model of Y = C + I + G + NI but ignoring net exports so we … Continue reading How Does Government Budget Deficit Impact Savings?