Answer:

The most valuable piece of advice I can offer to younger wealth accumulators is to budget fiercely, always spend less than you make, and save and invest the difference.  That may sound simplistic, and it’s hardest to do when you’re early in your career when money is tight, but building that good habit as early on in your career will set the stage for building wealth over your entire lifetime.  Avoid the use of high-interest-rate debt like credit cards. Tax-efficient savings tools like funding your 401K at work and/or IRA/Roth IRAs and investing those balances in stocks will allow you to compound those good savings habits into meaningful wealth.  Defining and setting goals like retirement and funding your first home purchase and using financial planning software or even simple online tools early on can help you see the path in front of you and stick to the discipline it will take the achieve them.

Brian T. Szytel – April 25, 2024

Answer:

The most optimal way to maintain price stability is to have a rules-based approach to the money supply, where the money supply grows with the size of the economy.  Grow the money supply more than the economy grows?  “Too much money chasing too few goods” – inflation (thank you, Uncle Milton).  Grow money supply less than the economy grows?  Deflation – a lost incentive to produce.  Distorted economic calculation. It’s not good.  Avoiding both depends on a stable supply of money, which comes best with rules, not discretionary interventions.  Our Fed has tackled price stability by throwing rules out the window, intervening with a level of creativity I never thought possible, and exacerbating a boom/bust cycle that has created the very opposite of price stability.

David L. Bahnsen – April 24, 2024