Inequality and Justice For All: The Future of Economic Outcomes in the U.S.

This week I want to discuss what I believe will be the most important economic issue in the coming decades:  income and wealth inequality. However, before I dive into this, I want to emphasize that inequality by itself is not necessarily a bad thing.  In the U.S. most people support some level of inequality to reward … Continue reading Inequality and Justice For All: The Future of Economic Outcomes in the U.S.

6 Months Are Responsible For All of the Gains in the U.S. Stock Market Since 2000

In the 1987 film Wall Street, Bud Fox, a rising stock broker looking to win over the legendary financier Gordan Gekko, says: "Life comes down to a few moments.  This is one of them." Little did he know how right he would be about not only personal success, but also investing success.  This week's post uses U.S. … Continue reading 6 Months Are Responsible For All of the Gains in the U.S. Stock Market Since 2000

The Poverty Myth: What I Learned From How Americans Spend Their Money

Before I show you the data for this week's post I want to talk about a myth I have seen in the personal finance industry that I used to agree with.  The myth is that the poor are poor because they have bad money management skills and they don't spend their money wisely.  The thinking goes that … Continue reading The Poverty Myth: What I Learned From How Americans Spend Their Money

The Bowling Green Massacre: The Data Behind A Tragedy

Most of my posts on this blog are not political and usually cover personal finance/investing topics.  However, I want to talk about something that has been widely debated recently.  There have been a lot of stories going around the internet about what did and did not happen at the Bowling Green Massacre.  Today I am … Continue reading The Bowling Green Massacre: The Data Behind A Tragedy

Don’t Follow Your Passion: Why Some Careers Are A Gamble

Don't follow your passion.  Actually...it depends.  If your passion is in an industry with a wide distribution of economic outcomes, then you might want to consider a different line of work.  Let me explain. It seems obvious that certain occupations are less equally distributed in terms of financial outcomes than others.  This is not a novel idea.  Many people … Continue reading Don’t Follow Your Passion: Why Some Careers Are A Gamble

Why Manufacturing Jobs Aren’t Coming Back: One Chart Explains It All

There has been a lot of talk lately in the media about bringing manufacturing jobs back to America.  Regardless of the politics involved with this, both sides of the aisle tend to believe that we can revive employment in U.S. manufacturing.  The problem is that the data tells a much different story.  Before we dive into … Continue reading Why Manufacturing Jobs Aren’t Coming Back: One Chart Explains It All

Average Net Worth by Age and Education Level

Are you saving enough?  What is the state of your financial health?  The best way to tell is through your net worth.  Your total assets minus total liabilities.  More simply:  what you have minus what you owe.  Despite the simplicity of this calculation, most of the net worth calculators and comparisons I have found online don't … Continue reading Average Net Worth by Age and Education Level

Retirement in America: Optimism in the Face of Insolvency

Americans have an unbridled sense of hope for their futures despite economic realities that seem much more grim.  An article published by the Atlantic in 2015 (see here) illustrated the optimism of Americans, which is higher than any other developed nation.  While I do tend to fall into this line of thinking myself (I am an American optimist), … Continue reading Retirement in America: Optimism in the Face of Insolvency

How Hedge Funds Get Rich (Hint: It’s Not Their Returns)

I used to think that those that ran hedge funds got rich because of their incredible returns.  Then I heard about the 2 and 20 fee structure that most hedge funds charged.  The typical hedge fund fee structure (historically) is 2% of assets under management and 20% of all positive returns.  Therefore, if you gave … Continue reading How Hedge Funds Get Rich (Hint: It’s Not Their Returns)