Poor nations work harder than rich ones. Why then are they still poor? In this episode you'll learn: What is GDP per capita and why it is the best way to compare wealth between nations. What is purchasing power parity. How physical capital, labor and total factor productivity contribute to economic growth. Why the mix of economic sectors impacts the wealth of a nation. How exponential growth leads to a radically unpredictable economy. Show Notes OECD Average … [Read more...]
Is the American Dream Dead?
Are private equity buyout activities contributing to income inequality and the death of the American Dream? Photo by Evan-Amos In this episode you'll learn: What is the probability someone will make more than their parents.Do private equity buyout firms help the economy.What have been the returns for private equity buyout funds.How much has income inequality increased?What contributes to upward mobility. Correction In the episode, the statistics shared for the … [Read more...]
112: Your Retirement Depends On Robots
How productivity increases due to robots and other technology enhancements should lead to both higher wages and higher investment portfolio returns, allowing workers to save enough to eventually retire. Photo by julochka In this episode you'll learn: How industrialization led to a greater variety of jobs.Why the internet is the world's largest copy machine.What things are better than free.How is productivity measured and why is its growth slowing.What are the negative consequences … [Read more...]
MNY085 Plus: Productivity, GDP and Stock Returns
This week on Money For the Rest of Us Plus I discuss falling U.S. productivity and how that can potentially impact stock returns. The episode length is 18 minutes. … [Read more...]
78: What If the Economy Permanently Stopped Growing
How a zero-growth economy would impact investing, employment and lifestyle. It depends on whether the economy is flat lining due to population shrinkage or a willful choice to be less productive. Photo by J.D. Stein In this episode you'll learn: How economic growth is measured.Why long-term economic growth is tied to population growth and/or productivity growth.How population decline can lead to deflation, stagnating stock markets and falling bond yields.What happens if … [Read more...]
