I have a question. If ten $100.00 bills were stuffed in a mattress in 2010 are they worth more or less now in 2022? Conversely if ten $100.00 bills are stuffed in a mattress now are they more or less likely to increase or decrease by 2032?
I'll share this piece with my students. I like the terms that you've used: 'net worth economy' vs 'paycheck economy'. To these young ones, I'm trying to drive home the importance of saving some of the fiat earned each month and investing in capital as a means to move away from reliance on a paycheck over time.
Great graphs. Especially the one with two separate interest rates. It can even be used to show rates for multiple year maturities and even explain the yield curve for bonds.
I have a question. If ten $100.00 bills were stuffed in a mattress in 2010 are they worth more or less now in 2022? Conversely if ten $100.00 bills are stuffed in a mattress now are they more or less likely to increase or decrease by 2032?
I'll share this piece with my students. I like the terms that you've used: 'net worth economy' vs 'paycheck economy'. To these young ones, I'm trying to drive home the importance of saving some of the fiat earned each month and investing in capital as a means to move away from reliance on a paycheck over time.
Great graphs. Especially the one with two separate interest rates. It can even be used to show rates for multiple year maturities and even explain the yield curve for bonds.
Thanks Istvan. And thanks for the draft. I will read this week and we can discuss next weekend. John
Prof. Rutledge. I have sent a version of my draft to your email. Just wanted to check back with you.