We explore six impacts of higher interest rates on housing, capital projects, stock buybacks, excess returns for stocks, bonds, and other asset classes, and individual opportunity costs. Topics covered include: Where current interest rates stand Central banker predictions for how long cash yields will stay this high Why housing is the least affordable since the early 1980s Why new apartment building construction has collapsed What has been the excess return for stocks, … [Read more...]
187: Do You Have Dollars and Sense?
How our spending should be based on opportunity costs in terms of the value we get from what we buy compared to other ways we could spend our money. In this episode you’ll learn: What are opportunity costs.What is anchoring and mental accounting.How the pain of paying is a function of the time and attention we spend on the transaction.How using credit cards makes paying less painful.What is confirmation bias.. Show Notes Dollars and Sense: How We Misthink Money and How to … [Read more...]