@Andrew Great question. Thinking in terms of poorer vs richer and their likelihood to spend out of new "savings," I'm drumming my fingers waiting...
I wonder how much information is lost by looking at things in the aggregate. Numbers for 2020 seem to show that goods consumption hasn't really changed much at all. What is down is services. In g...
Paul: I get what you're saying, but I'm thinking there's a lot of untapped spending desire out there. Closures may dampen spending some, but I'm thinking people will find venues that are still of...
Are we overlooking the fact that many of the places where one would spend money are closed or on reduced service? But will households start spending those assets when things open up? is th...
Great write-up . Thanks. Have you looked at how buybacks increase the value of executive stock options? I'm curious as to whether the strike prices of executive options are adjusted for reduced n...
https://www.asymptosis.com/buybacks-are-bad-but-not-for-the-reasons-you-think.html#comment-116355
Original Post
https://www.asymptosis.com/buybacks-are-bad-but-not-for-the-reasons-you-think.html#comment-116354
Do the transaction is registered at the hours of darkness markets is associated with Bitcoin transactions. Loan time period will improve on every transaction. This restriction will settle for the...
I don't understand how you so easily conclude a positive change in net worth. Additional spending is also likely to increase inflation (which would decrease "real net worth) and/or increase inter...
https://www.asymptosis.com/safe-assets-collateral-and-portfolio-preferences.html#comment-116243
@Kester "The central issue is government spending and tax *does* act very much like a bank." I think that's true in a sense. But there's a crucial di...
https://www.asymptosis.com/actually-only-banks-print-money.html#comment-116197
Hi Steve, The central issue is government spending and tax *does* act very much like a bank. Imagine spedning first water cycle view VAT (UK slaes tax) as 'cashback' no saving in the spending cha...
https://www.asymptosis.com/actually-only-banks-print-money.html#comment-116196
"if you can write a reaction function that predicts asset-price changes, you're a very rich person…" I bet you quants are using linear algebra optimization techniques to solve Ax=b where A ...
@Michael Sankowski If you toss "median" in there, I suppose you could say that. Cause non-housing wealth is so concentrated in the up 10 or 20%. But ...
Isn't net worth going to be dominated by 'value of real estate'? Id think that this would dominate the median household net worth.
If you use the Personal Consumption Expenditure Chain-Type Price Index instead of the CPI you get some different results. Of the eight recessions since 1979 five are "predicted" and three missed ...
@Kaleberg Two thumbs up. Thx.
Re: "Is that forgivable?" No. It is not forgivable. In physics, just everything can be analyzed from the point of view of free-body interactions. Change in state is a function of the combined for...
address this from another, wonky angle -- book-value versus mark-to-market, market-cap accounting, here. (Includes empirical
https://www.asymptosis.com/wonky-more-on-martin-sandbus-pseudo-income-and-saving.html#comment-116079
@Effem "argument from most would be that inflation is overstated" Possible, but that doesn't explain graph #3. Same index applied to the two series. ...
https://www.asymptosis.com/wonky-more-on-martin-sandbus-pseudo-income-and-saving.html#comment-116078
If you think we're understating GDP, I would think the argument from most would be that inflation is overstated. So why not simply do the analysis on a nominal basis instead of a real basis? Also...
https://www.asymptosis.com/wonky-more-on-martin-sandbus-pseudo-income-and-saving.html#comment-116077
Me: Wealth and the National Accounts: Response to Matthew Klein
Wealth and the National Accounts: Response to Matthew Klein
against "dangers in making capital gains and losses more central than they already areâ€. And Roth has replied to some of Klein's
"Ask the owner of twelve apartment buildings (say with with near-zero financial assets or "cash†holdings), "how much money do you have?†The answer is not zero." Ask to borrow some. ...
"how much money do you have?†Well, I don't know, everyone has his/her own definition of money, and it changes depending on the context. But I guess most people associate money with currenc...
@Creigh Gordon "would say money is "umm, kinda like gold, only made out of paper, or something." " Agree. The core problem is the irresistible desire...
I'll grant that real estate and other kinds of real property are wealth, and that is why the national accounts are interested, but wealth and money are not the same thing. And the difference is m...
@Creigh Gordon >A title or deed to real property is certainly a claim of ownership, but it's not a claim denominated in a unit of account See lines 8...
@Asymptosis "Money is the value of ownership claims, designated in a unit of account." A title or deed to real property is certainly a claim of owner...
@Asymptosis "you just silently and implicitly defined "money.†Did you notice?" I'll accept that. I believe money to be "a promissory note deno...
@Creigh Gordon K, you just silently and implicitly defined "money." Did you notice? "Assets that have a corresponding liability on another balance sh...