Big Ideas: US Energy Independence in 20 Years For most of our adult lives, oil has had a huge influence on the US economy and foreign policy. (Remember: the gas lines in the 1970s? the first Gulf War to reverse Kuwait’s takeover by Iraq?) In the next 20 years, oil will still dominate, but for …Read More
Safeguards After the Target Breach
Safeguards After the Target Breach The Target credit/debit card breach was a wake-up call to take greater measures to protect our accounts on an ongoing basis. We should assume this will happen again. Here are some steps that may help: 1. Use cash. But be careful about the amount of cash you carry routinely. (If …Read More
Review of 2013 Stocks and Bonds
Review of 2013 Stocks and Bonds A simple statement about stock and bond returns in 2013 is: Stocks were terrific, bonds were terrible. (See chart at bottom.) Let’s cover the bad news first. The bond markets were the worst since 1994, yet generated only small losses in the low single-digits for intermediate term bonds. Short …Read More
A History of US Stock Market Returns
A History of US Stock Market Returns 2013 was a terrific year in the US stock market with the index of the largest 500 US companies (the S&P 500 index) returning 32.3% (gains and dividends). How does it compare to recent history? These charts show 33 years of data beginning in 1981. 2013’s return of …Read More
Long Term Trends: Employment
Long Term Trends: Employment What does a 25-year chart of unemployment tell us about the US economy? Sometimes we follow an economic statistic so closely that we lose sight of the bigger picture. Below are charts of two statistics from the US Bureau of Labor Statistics over the last 25 years: unemployment as a percentage …Read More