Using a Fat Tail to Describe Stock Market Risk

When the unexpected occurs and changes our view of stock market risk, we call it a black swan or fat tail because it is far from the mean of a bell curve.

The Real Eurozone Problem

Although people in the eurozone want a single currency and their leaders want unity, monetary union problems create political distrust and disunity.

Why Children Are More Expensive Than We Think

To the dollars families spend on children, we can add the cost of stress from the time we devote to developing a child’s human capital.

The Data Leaks That Move Markets

In financial markets, data security relates to the timing of data releases because premature releases or leaks unfairly favor one group of investors.

The Reversed Role of Chinese Deposit Insurance

While many nations have deposit Insurance and China will have theirs very soon, the quality and the confidence in different deposit insurance schemes vary.

Four Ways to Understand Greek Debt

An historical perspective and a look at what is owed, to whom and when provides insight about the culture and complexities of Greek sovereign debt.

What Gorgeous Money Looks Like

Although paper currency is just one part of a money supply, a special design like Norway’s new kroner notes conveys an inspirational message.

Why a Dollar Coin Might Not Be Money

In the U.S. the Federal Reserve tried to introduce metal dollar coins into the money supply but currency demand indicates that people prefer paper.

The Problem With Hitting the Debt Ceiling Again

With the U.S. hitting a debt ceiling that is equal to the GDP, concern over U.S. spending is growing as the Congress again decides how to avoid a default.

Pondering the Bunker Hill Theory of Inflation

As the source of monetary policy, the Federal Reserve has to decide if interest rates should rise when inflation is low but a jobs recovery has begun.