The Minsky Moment. Macro Updates: (01-11 to 01-12) (Paid)

In this week we will be looking at 5 separate sources for our macro recap.
Are we on the brink of a minsky moment?
What even is a minsky moment?
How do interest rates & fed policies intersect?
Find out now!

YouTube Channel: Mark Moss

Title: This Could Be Bad For Stocks, Here's Why
Link: https://www.youtube.com/watch?v=4EGaUP8d_g0

Here are the top takeaways:

• The Federal Reserve's policies are to blame for the boom and bust cycles that have caused so much financial ruin for so many people.

• The Fed needs to be more careful with its actions in order to protect the economy and the people who live and work in it.

• The rise of zombie companies is a threat to the entire US economy, as they reduce productivity and growth.

• These companies also undermine the country's competitive advantage of efficient capital allocation.

• Private equity giant Blackstone is a prime example of how these companies can take advantage of free money regimes to cash out while leaving investors with worthless assets.

• It is important to be aware of these trends in order to make smart investment decisions.

• The Federal Reserve's policies are causing a Minsky moment that will lead to a collapse of the markets. This collapse will hurt investors who have been putting money into zombie companies and other risky ventures.

• The best thing for investors to do is to stay in cash and wait for the market to bottom out.

• *A Minsky Moment: refers to the onset of a market collapse brought on by the reckless speculative activity that defines an unsustainable bullish period.

YouTube Channel: Eurodollar University

Title: When even the optimisms throw in the towel on the global economy...
Link: https://www.youtube.com/watch?v=JUdlaA4T2-c

Here are the top takeaways:

• The global economy is in trouble, and a recession is a very real possibility.

• The reasons for this are manifold, but include the fact that governments around the world have intervened too much in the economy and created a situation where inflation is now a very real threat.

• The World Bank is not alone in this assessment, as even famed investor Warren Buffett has warned that the economy is in danger of overheating.

• With interest rates rising and the global economy on the brink, it is more important than ever for policymakers to take action to avoid a full-blown recession.

Newsletter: Intrinsic Macro

Title: Intrinsic Macro #44.
Link: https://intrinsicmacro.substack.com/p/intrinsic-macro-44

Here are the top takeaways:

• The digital economy is based on two models: high ticket sales and digital assets.

• High ticket sales is the predominant business model of the digital economy because the predominant cashflow model for youtube, google, facebook, and twitter, is advertisements.

• The digital asset model inverts the advertising revenue model by basing sales on inbound customers rather than outbound persuasion.

• The problem with assessing value in the digital economy is the Socrates problem- the issue that selling information or knowledge is inherently in danger of sophistry, propaganda, coercion.

• What we witness in the digital economy (with themes like post-truth, fake news, information warfare) is that people are incentivized to cater to an audience rather than to discover the truth of the matter.

• This separation (or potential overlap) between the truth and the market is the issue most important issue in digital economy.