Wednesday, 13 December 2017


This is a slightly puzzling book 

p22 the author is partially wrong. Hierarchies do work and Herbert Simon showed why, but this was not because of top down control. They can be non-directed and spontaneously arise.

p25 gatekeepers to the rich and powerful. Is this a good idea?

p27 - why did the author write the book?

  • potentially undermines her credibility.
  • makes people wary in talking to her.
  • obvious that she is a Soros fan.
p32 "Money is mostly created by banks offering loans" regulated by central banks interest rates and asset purchases (Gold etc.) At the minute with QE $17 trillion has been pumped into the markets and created huge asset bubble such as BitCoin. The intention was for the money to be used for investment and to kickstart growth but this has failed. It has remained in the markets and the banks and not been distributed to the wider economy. This is going to result in a very serious and drastic need for realignment. 

Fundamentally commodities are more important than other markets because we cannot live without them. We depend on them for:
  • Shelter
  • Warmth 
  • Food
As Apple share price rises the return per share has fallen because this is pure speculation and not investment. 

p53 power of the central banks is greater than the politicians. Brexit proves this wrong. You can get a populist vote in ignorance of how the central banks work and this can create a suicidal economic policy.

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