FSN interview w/ Adam Fergusson on the dangers of hyperinflation

Financial Sense Newshour recently interviewed When Money Dies author, Adam Fergusson to discuss the Weimar hyperinflation of the 1920s and the inflationary dangers facing us today.

There are so many key concepts on the nature of inflation and its societal impacts in this interview, that I won't attempt to repeat them all here. However, there is one comment Fergusson makes early on in the discussion that is highly relevant to our current situation, and it pertains to the high level of debt we see in the US and other developed nations. Here it is:

"Generally speaking, inflation is a hidden tax, and it is a way whereby a government repudiates its public debt".

Check out the full interview to hear why Fergusson's recently reprinted book is so relevant to the economic discussions of today. When you hear constant debate over the possible outcomes of quantitative easing (QE) and the problems of high unemployment and rising costs of living, you'll know it's a sound idea to study economic history and learn from the lessons of the past.

You can also find a great deal of insight on the nature of inflation and the lessons from the Weimar hyperinflation in the related posts linked below.

Related articles and posts:

1. When Money Dies by Adam Fergusson: read it online - Prudent Investor.

2. Dying of Money: FSN 4 part series on inflation - Finance Trends.

3. FT interviews Adam Fergusson: When Money Dies - FT.com.

Nasdaq credit rating junked.

S&P cut Nasdaq's credit rating to junk status citing debt burdens and its questionable strategy to buy a controlling interest in the London Stock Exchange. Financial Times reported that the exchange's counterparty credit & bank loan rating were lowered fromm BBB- (lowest investment grade rating) to BB+. The change will increase Nasdaq's borrowing costs should it wish to pursue aquisition targets. For an earlier look at the exchange consolidation trend that brought about Nasdaq's push for a stake in the LSE, please see "Exchange fever" .

Clean Money - John Rubino: Book review

Clean Money by John Rubino 274 pages. Hoboken, New Jersey John Wiley & Sons. 2009. 1st Edition. The bouyant stock market environment of the past several years is gone, and the financial wreckage of 2008 is still sharp in our minds as a new year starts to unfold. Given the recent across-the-board-declines in global stock markets (and most asset classes) that have left many investors shell-shocked, you might wonder if there is any good reason to consider the merits of a hot new investment theme, such as clean energy. However, we shouldn't be too hasty to write off all future stock investments. After all, the market declines of 2008 may continue into 2009, but they may also leave interesting investment opportunities in their wake. Which brings us to the subject of this review. John Rubino, author and editor of GreenStockInvesting.com , recently released a new book on renewable energy and clean-tech investing entitled, Clean Money: Picking Winners in the Green Tech Boom . In Clean ...

Jesse Livermore: How to Trade in Stocks (1940 Ed. E-book)

If you've been around markets for any length of time, you've probably heard of 20th century supertrader, Jesse Livermore . Today we're highlighting his rare 1940 work, How to Trade in Stocks (ebook, pdf). But first, a brief overview of Livermore's life and trading career (bio from Jesse Livermore's Wikipedia entry). "During his lifetime, Livermore gained and lost several multi-million dollar fortunes. Most notably, he was worth $3 million and $100 million after the 1907 and 1929 market crashes, respectively. He subsequently lost both fortunes. Apart from his success as a securities speculator, Livermore left traders a working philosophy for trading securities that emphasizes increasing the size of one's position as it goes in the right direction and cutting losses quickly. Ironically, Livermore sometimes did not follow his rules strictly. He claimed that lack of adherence to his own rules was the main reason for his losses after making his 1907 and...

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