Thoughts on Business, Politics, and Life from a Private Investor
A Word on the "Average" Worker The universal law of mathematics is that half of all citizens must be above average and half must be below average. (Our job is to try and increase that average over time so that someone who is "average" today is richer than someone who was "average" 100 years ago). In the United States, average is defined as $50,000 per household income annually. To adjust for folks like Bill Gates on the high end and the homeless guy on the low end skewing the … [Read more...]
I've been having a conversion about investing and money with the reader "Frat Man" in the comments section of another post. He asked: I also had one other question I have always wondered. Where do millionaires keep their money? In the sense that FDIC insurance only covers $250,000 at the bank and SIPC only covers $500,000 at the brokerage. I mean, I can't see Bill Gates putting $250,000 at thousands of banks across the country, nor can I imagine Lou Simpson's net worth getting wiped down to … [Read more...]
In 1953, a great movie starring Lauren Bacall, Bette Grable and Marilyn Monroe was released called How to Marry a Millionaire. I got curious as to how much money it would take to equal the same net worth today so I did an inflation adjustment because I wanted to know how big their motivation was in the film. Turns out, someone who had $1 million in 1953 would have roughly $8 million today. That kind of asset base should generate cash dividends or interest of $34,000 per month without … [Read more...]
This blog is a way for me to pass along some of the stuff I learn on the journey and the past year has taught me a lot about furniture, furniture buying, and what constitutes quality furniture. Tying that into our usual discussion of economics and finance, I think it provides a lot of valuable [...]
I’ve been thinking a lot about free trade, labor unions, American manufacturing, and free markets for the past few weeks. You know that, on the whole, American manufacturing is still as strong as it was in 1960. We still produce roughly $20 out of every $100 of world goods. The difference? Technology and, to [...]
Though the home renovations have gotten the most headlines due to their nature (constant onslaught of choices and tasks that need to be completed), one of the most important items on the agenda of the six-month project has been to drastically reduce my digital footprint. By the end of the program, I will have one personal presence [...]
This makes me sick. This high school is ranked in top 5% of high schools in the United States. The worst part of the video for me was the part where the kid says, “I was never taught that knowledge”. It’s not somebody else’s job to teach you, it is your job to seek out [...]
This is a great way to start the day … one of the reasons I love writing this blog. Joshua, [In American Households Continue to Deleverage But That Only Tells Part of the Story, you wrote] “The numbers are just figures on a sheet trying to explain human behavior. Study the behavior, what is driving [...]
I'm a private investor who loves architecture, furniture, clothes, history, philosophy, books, cooking, and music as much as I do finance. Continue reading ...
Connect with Joshua Kennon
You can send mail bag questions, subscribe to updates on Facebook and follow me on Pinterest, where I track stuff I like, collect, study, and find amusing.
Investing for Beginners
To read my content for new investors on a wide range of topics including investing in stocks, investing in bonds, investing in real estate, and investing in mutual funds, head over to Investing for Beginners at About.com, a division of The New York Times, where I have thousands of articles and lessons.
Membership has its benefits. When you are logged in, you see the most recent version of the site (not an archived cache), you can post comments and join in the discussion, and more! It takes less than 10 seconds to join and basic membership is free.