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A quick follow on from yesterday’s Money Morning. We like this quote we’ve found from Professor Walter Block:
“Consider a man and a woman each with a productivity of $10 per hour, and suppose, because of discrimination or whatever, that the man is paid $10 per hour and the woman is paid $8 per hour. [...]

We’ll poke a stick at property and inflation today.
Inflation, if mixed with deflation is fine. Prices rise, then prices fall.
But inflation by itself, well, that isn’t good at all. If you look at the chart below, you can see perfectly how the value of money has been devalued almost without break for the [...]

We noticed with amusement Emperor Ken Henry’s statement that: “What people have called the global financial crisis, that has passed, I think it’s safe to say.”
It’s pretty easy to say that when you’re a career leach. Sorry, we mean public servant… No, actually, we do mean ‘leach’ after all.
On reading those words from Emperor [...]

Hats off to Barnaby Joyce for having a crack. Maybe when his political career is finished, and he’s yesterday’s nobody, we could offer him a job writing newsletters. He certainly knows how to write a good headline!
If you missed it, in an interview with the ABC Barnaby Joyce said:
“We’re going into hock to [...]

Well, it’s nice to see that the mainstream media have started to wake up about the lies surrounding the housing shortage.
Eagle-eyed Money Morning reader Gary sent us this link to The Australian:
“Homeless figures are ‘distorting housing shortage’”
Nice work. It’s just a shame we revealed that fact back on August 24th last year when we [...]

Before I get on to today’s Money Morning, we’ve received some feedback from yesterday’s article. The complaint has been that we didn’t compare apples with apples.
That it’s not fair to compare the return of a leveraged investment property with an unleveraged dividend paying stock.
Of course that’s nonsense. Of course it’s fair. As [...]

We’ve seen a lot of chatter over the past twenty-four hours suggesting the housing finance figures indicate a topping out of the housing market. We wouldn’t be too sure about that just yet.
Let me try and explain…
One of the biggest furphies of 2009 is that there has been a ‘deleveraging’ in financial markets.
The idea [...]

Before I get on to today’s subject, a quick note about a cornerstone development in Australia’s liquefied natural gas (LNG) industry.
You may have seen the press reports about China signing a $50 billion deal for a gas supply from the Gorgon field off Western Australia.
The great thing is, this is just the tip of the [...]

We admit it. Sometimes we don’t give credit where it’s due.
According to Money Morning reader Terry, we haven’t given enough of to Treasurer Wayne Swan:

“Kris
You are right that the RBA, Treasury and so on are a bunch of d********.
What you don’t know is that Wayne Swan has an independent Melbourne based financial and political strategist [...]

Your editor is always – yes, always – amused at the fawning, unbridled confidence that analysts and commentators have in the words of central bankers.
Most of the ‘expert’ economists at the major banks appear to see Reserve Bank of Australia (RBA) governor Glenn Stevens and Federal Reserve chairman Ben Bernanke as a modern day Nostradamus. [...]