If you're like a majority of average American investors, you earn 1 percent or less in your savings account, mutual funds or bonds, and lose 2-3 percent to inflation. Ever wonder where that 2 percent difference goes?
Today's debate may be polarized, but no one seriously expects half the nation to secede because of it. And yet, in the early days of the American experiment, that's how controversial the national debt was.
The pension crisis is yet another downside of the Fed's quantitative easing that creates a Catch 22 for pension stewards. It makes it difficult if not impossible for pension fund managers to get a decent return by investing in low-risk federal securities.
Advanced countries face difficult choices as they undertake fiscal adjustment. While pension reforms will certainly need to be part of the picture, we must keep in mind the vital role pensions play in reducing old-age poverty.
In the midst of jittery financial markets, and global economic doom and gloom, it's easy to become pessimistic. Perhaps too much so; amid what seems like a steady drum beat of bad news, one can lose sight of what has been achieved over the last couple of years.
Looking for a tool to help revive economic growth politicians do not have to look very far. Many governments around the world have a substantial portfolio of commercial assets yielding often a very small return to its ultimate owner -- the taxpayer.
There is no looming financial crisis for the U.S. Government, the scorekeeper for the U.S. dollar. The U.S. Government can't run out of dollars, and it is not dependent on taxing or borrowing to be able to spend.