Economy and Trends

Tax-Free Bonds for Stadiums? NFL vs Congress

Ever since the National Football League let their games get political with the national anthem protests, there has been a tremendous backlash from fans and Republicans. House Republicans even took action by proposing a bill last week that would halt team owners from being able to use tax-free bonds to help fund the construction of these event arenas. “Under the ...

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Oil CEOs Request That the OPEC Extend Output Cut – Expect Higher Gas Prices

Oil CEOs are making a push to “stabilize” the market by calling on the Organization of the Petroleum Exporting Countries (OPEC) to extend out the March 2018 oil output cut deadline.    “OPEC members are reportedly forming a consensus around extending their production cutting deal with other crude exporters by nine months. That would prolong the agreement among OPEC, Russia and other ...

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Japan – The Land of the Rising Wage?

On Sunday, October 22, 2017 Japanese Prime Minister Shinzo Abe won his third consecutive electoral victory. The 63-year-old Abe is on course to become Japan’s longest-serving Prime Minister. Mr. Abe owes his victory partly to adroit political judgment. Sensing disunity among his likely opponents, he called for an unscheduled election. In response, the main opposition party, The Democratic Party split ...

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Delta Airlines – Mix of Alpha and Beta

A small commercial spat involving Delta Airlines received front page media attention this past October 9 when Canadian Prime Minister Prime Minister Justin Trudeau visited the White House to begin another round of NAFTA negotiations. A few weeks ago, a purchase order of 125 small jets by Delta from Canadian manufacturer Bombardier was slapped with a large tariff by the ...

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India Vs. United States: A Comparison of Economies and Markets

India is the second largest country in the world in terms of population and the country has made great strides in its economy by developing a capitalist approach and adapting it to meet with Hindu traditions. The annual growth rate for GDP has been above four percent since we entered the 21st century with the exception of one reading and ...

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Georgia Insurance Commissioner: Obamacare Rates Up 57% Next Year

Premiums for individual policies sold under the Affordable Care Act could increase by as much as 60% next year. Regulators are forced to either approve the increases demanded by health insurance companies or lose those companies. “Obamacare has become even more unaffordable for Georgia’s middle class,” complains Georgia insurance commissioner Ralph Hudgens. “I am disappointed by reports that the latest Obamacare repeal has ...

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Investment Managers – Down and Out Even at Harvard

On September 19, 2017, the New York Times reported that Harvard’s $37.1 billion endowment fund, managed by Harvard Management Co. (HMC), posted a return of 8.1% for its latest fiscal year, which ended June 30, 2017. Nirmal Narveker, president and CEO of HMC, stated that the results were disappointing but that the changes he was implementing would strengthen the fund ...

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Bitcoin or Bust

While Bitcoin has been around since 2008, there is still so little we as a society understand about its value, its function, and its place in the economy. And the reason for our lack of understanding is primarily due to our inability to progress from our formal understanding of how currency works and what gives it value. See, even though ...

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Single Family Housing: Look to Vacant Retail Space

The growth of internet commerce is reducing the square footage of real estate that retailers can profitably utilize. This dynamic should help increase the supply of middle-class single family homes in some desirable markets because it will help address the dearth of buildable lots that home builders point to when discussing the small supply of affordable new single family homes. ...

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Single Family Homes – A Tale of Two Markets

The chart below depicts the percentage of new home sales that are priced below $200,000 (blue bar) and priced between $200,000 and $400,000 (orange bar). Those priced above $400,000 would be the remainder of the market, and this remainder has been where the action has been over the past few years. Since 2010 the market share of new homes priced ...

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