A Student Loan Fable
2023-02-21
A student goes into a bank. He tells the personal loan banker, “I want to borrow $7,500 per year for the next four or five years.”
“That’s at least $30,000 over time,” the banker says. “Personal loans have a 10 percent interest factor.”
“For my loan,” says the student, “I need an interest rate close to a home mortgage, like 6 percent. Also, I don’t want to be charged interest for the first four or five years of the loan.”
The banker asks, “How long will this loan be for?”
“A twenty-year payoff after graduation or shorter,” replies the student.
The banker asks, “Do you have any collateral assets to secure the loan?”
The student says, “No collateral, but I promise to pay it off when I get a job.”
The banker is incredulous. “Anything else you want to tell me about your plans?”
“Yes,” the
Will AI Learn to Become a Better Entrepreneur than You?
2023-02-18
Contemporary businesses use artificial intelligence (AI) tools to assist with operations and compete in the marketplace. AI enables firms and entrepreneurs to make data-driven decisions and to quicken the data-gathering process. When creating strategy, buying, selling, and increasing marketplace discovery, firms need to ask: What is better, artificial or human intelligence?
Managing Money Is as Important as Making It: The Sad Case of Athletes Going Broke
2023-02-07
Lacking a solid team is a recipe for organizational failure, and those intending to excel in business—or any other sector—must invest in management. Considering that many professional athletes encounter bankruptcy shortly after retiring, they are a demographic that could greatly benefit from quality financial management teams.
Do Falling Prices Cause or Predict a Recession?
2022-12-07
In the midst of excessive US economic and geopolitical uncertainties due to rampant inflation and the continuing Russian invasion of Ukraine, the 7.7 percent October inflation report comes as a small relief. The unemployment rate touched 3.7 percent in October, remaining near the 3.5 percent prepandemic level and slightly above the 3.4 percent natural rate of unemployment of the fourth quarter of 2021.
Economic Progress and Economic Decay: North versus South
2022-12-05
They read like Civil War battlefields: Chattanooga, Tennessee; Tuscaloosa, Alabama; Greer, South Carolina; West Point, Georgia; Montgomery, Alabama; Tupelo, Mississippi; Smyrna, Tennessee. They are the towns and small cities in the Deep South where America now builds its cars and trucks.
On Secession and Small States
2022-12-02
The international system we live in today is a system composed of numerous states. There are, in fact, about two hundred of them, most of which exercise a substantial amount of autonomy and sovereignty. They are functionally independent states. Moreover, the number of sovereign states in the world has nearly tripled since 1945.