Double Debt Dealing

By |2013-10-22T09:55:48+00:00October 22nd, 2013|Accounting, economy|

Is American $17 trillion in debt? That’s the headline number that’s referred to in all the debt-ceiling budget-busting filibustering debate. That’s the total of US Treasury debt that’s owned by the public, the Fed, and the Social Security Administration—along with various trust funds. But some people are challenging that figure. Stanley Drukenmiller—a legendary investor, who famously helped break the Bank of England in 1992—maintains that the national debt is actually $205 trillion. That’s the present value of all Federal promises from here to eternity--healthcare, [...]

Both Sides Now (Part 1)

By |2012-03-27T10:15:04+00:00March 27th, 2012|Accounting, Global Market Update|

Investors need to use both sides of their brains.Yes, there’s the analytic side and the intuitive side. There’s numerical number-crunching and there’s aha-moment insight, the kind that gets into Apple at 30 and out of Google at 600. But that’s not the two-sidedness that I’m talking about.I mean the balance sheet. Yes, that boring, accounting-level statement of what a business owns and owes. The statement of cash, receivables, inventory, property and equipment on one side, and payables, short-term loans, long-term loans, and equity on [...]