Do Low Rates of Interest Really Support Markets? On 10 September, I concluded that they don’t. This article explores one of this result’s major implications: investors can’t depend upon central banks. This is because their “stimulus” has produced artificially-low rates that are … [Read more...] about Central banks don’t dispense “Stimulus” – they peddle poison
Do today’s minuscule rates of interest justify stock markets’ sky-high valuations? Bulls often imply – and sometimes boldly assert – that they do, and mainstream theory is on their side. The problem is that theory is elegant and tidy, whereas reality is clumsy and messy: many … [Read more...] about Do low rates of interest really support markets?
Are Australian stocks overvalued, fairly valued or undervalued? Leithner & Company, a value investor based in Brisbane, regularly analyses data that shed light upon this vital – and perennial – question. This article outlines some of the argument and analysis that supports my … [Read more...] about Why This Market Is 33-50% Overvalued
26 July-26 October 2020 In the closing passages of Elinor Ostrom’s Governing the Commons (1990) she states that the “intellectual trap” of much of … public policy is that scholars “presume that they are omniscient observers able to comprehend the essentials of how complex, … [Read more...] about Leithner Letter No. 249-252
26 March – 26 June 2020 Some Americans have much higher income and wealth than others. Former President Barack Obama explained, “I do think at a certain point you’ve made enough money.” An adviser to Rep. Alexandria Ocasio-Cortez who has a Twitter account called Every … [Read more...] about Leithner Letter No. 245-248