If you get a chance, do some homework on an accounting “Magic Trick” that all the Big Boyz are using to flatter profits and obfuscate the sheer amount of capital being torched.
It’s called “Construction in Progress” (CiP). If you are unaware of it and what it does, you will be completely floored when you read about it….
If you or I thought it up and used it, we’d be jailed for fraud.
agree. But if we did what Congress did and has done for over 100 years we would be jailed. Both in terms of spending and also enriching themselves. Its Sick.
But I dont want monarchy, despotism, fascism, Islamism, Wokism, Libertarianism, Isolationism or Liberalism to become the NEW GOVERNMENT IN WASHDC. Democracy is messy. Now its a real mess indeed. I pray for my kids and grands.
Regarding Dusty's future, it really depends on what he wants in life. Yet how would he know without exploring a variety of life experiences including work, education, travel and social situations. Who knows where life leads you. It all depends on what a person wants and the kind of life he wishes to live. If he has an independent streak and an entrepreneurial bent it may lead him eventually to be self employed in one form or another. It depends on one's goals and aspirations. For me, it was all about achieving financial independence by running my own business in a field I enjoyed that enabled me to have control over my time and lifestyle.
Of course, self employment is not a fit for everyone and as a matter of fact its not a fit for most. Just as being an employee and being under the direction of a boss or an organization was not a fit for me.
Add to Brian Calvin’s post the magical doubling of life expectancy of Ai chips from 3 to 6 years on depreciation schedules of the data center owners and removal of the 5% retention requirement from issuers of private credit. The bubbles keep getting bigger and when this one pops it will make 2008 look tame.
Well Bill has it about right today. Weather is undeniable fact Why it is what it is we dont really know but look at the SUNSPOTS and el Ninos and la Ninas and earth burping from ocean floors and volcanic activity and even the TILT of the planet earth was reportedly changed by GYNORMOUS earthquakes in the Indian Ocean long ago (but with past 30 years) I dunno but there is that story out there. and the EU also got rid of NUKES. And went to EVs and then wondered about power sources and imports oil and LNG and refuses Airconditioning and then fires come and destroy VINEYARDS and CROPS. And so its really BIBLICAL. Revelations? I dunno. Maybe. God knows but we dont. Like Revelations warned and Jesus warned too.
And so it is with the markets. Only God knows. NOT US. GOD. And when will it happen? I dunno. How is a bit easier and we have several culprits likely but also may be surprised....that ONE SNOWFLAKE as Rickards says that causes the avalanche to give way. One second its a skiers paradise and then the next its a skiers burial grounds. THE END.
So prepare. For Revelations and OUR SOULS. And prepare for financial avalanche in GOLD and SILVER in whatever form you deem appropriate for yourself. BUT I caution you on scams galore in coins, and that gold coins wont come back into "currency". What likely happens is we might return to gold standard and the dollar backed by GOLD to save it from extinction.....after devaluing....to something like 10k or 15k per ounce of gold, then FIXED. AnD that also stops CONGRESS FROM SPENDING MORE THAN WE HAVE GOLD IN FORT KNOX and why Trump was verifying what we have at Fort Knox (and West Point btw). I am long MINERS big and small and varied but ALL VERY STRONG COMPANIES AND DOING VERY WELL and some ETFs also performing VERY VERY WELL. YOU DECIDE.
Bill now has a castle in Poitou to get rid of that nobody wants. I am sorry. But thems the truth.
"And that stops congress from spending more than we have in gold..." Come on Patrick, a smart guy like you knows there are no limits on Congress' ability to make money out of thin air, gold or no gold. Maybe if we had a world wide gold standard Congress might take pause.
Now Tom your cynicism has morphed into abject nattering nabobs of negativism. FIrst YOU know better.
Nixon ended the gold standard by E0 and that gave Congress permission to spend MORE on appropriations and BUDGET but HE had to sign the budget legislation which he did and so did all the others but it was supposed to be temporary. And Treasury issues the DEBT and now the FED buys that debt. UH OH. And Fed also has some levers to pull to create money. BUT CONGRESS does NOT create money. It appropriates in Budget bills and POTUS must sign it. So if they appropriate more than we have GOLD and we have DOLLARS BACKED BY GOLD that is tantamount to defaulting on BONDS and we will NEVER do that directly. ONLY by devaluing the dollar but if on Gold Standard its backed by gold and set.....and anyone who spends more can go to jail and should
Hi Bill,
If you get a chance, do some homework on an accounting “Magic Trick” that all the Big Boyz are using to flatter profits and obfuscate the sheer amount of capital being torched.
It’s called “Construction in Progress” (CiP). If you are unaware of it and what it does, you will be completely floored when you read about it….
If you or I thought it up and used it, we’d be jailed for fraud.
Keep up the Amazing Work. And Thank You
agree. But if we did what Congress did and has done for over 100 years we would be jailed. Both in terms of spending and also enriching themselves. Its Sick.
But I dont want monarchy, despotism, fascism, Islamism, Wokism, Libertarianism, Isolationism or Liberalism to become the NEW GOVERNMENT IN WASHDC. Democracy is messy. Now its a real mess indeed. I pray for my kids and grands.
I couldn’t agree with you more on the investment front.
AI looks very ready to meet its pin.
But this caught my eye:
“Behind them all is the hunch that if we were to reduce the cost of knowledge...”
Yesterday I published an article called When Curiosity Becomes Cheap.
https://lucaskandia.substack.com/p/when-curiosity-becomes-cheap
And oddly enough, I think both of us may be right.
AI may be ruinously expensive to build while becoming astonishingly cheap to use.
For me, another question costs almost nothing. Another branch. Another paper. Another connection.
Not because knowledge itself suddenly became cheap.
Because the cost of moving through, assembling, interrogating and connecting the knowledge humanity has already accumulated has collapsed.
Somebody else is spending a fortune to make my curiosity cheap.
The investors may still get killed.
The technology may still change everything.
Regarding Dusty's future, it really depends on what he wants in life. Yet how would he know without exploring a variety of life experiences including work, education, travel and social situations. Who knows where life leads you. It all depends on what a person wants and the kind of life he wishes to live. If he has an independent streak and an entrepreneurial bent it may lead him eventually to be self employed in one form or another. It depends on one's goals and aspirations. For me, it was all about achieving financial independence by running my own business in a field I enjoyed that enabled me to have control over my time and lifestyle.
Of course, self employment is not a fit for everyone and as a matter of fact its not a fit for most. Just as being an employee and being under the direction of a boss or an organization was not a fit for me.
Add to Brian Calvin’s post the magical doubling of life expectancy of Ai chips from 3 to 6 years on depreciation schedules of the data center owners and removal of the 5% retention requirement from issuers of private credit. The bubbles keep getting bigger and when this one pops it will make 2008 look tame.
Well Bill has it about right today. Weather is undeniable fact Why it is what it is we dont really know but look at the SUNSPOTS and el Ninos and la Ninas and earth burping from ocean floors and volcanic activity and even the TILT of the planet earth was reportedly changed by GYNORMOUS earthquakes in the Indian Ocean long ago (but with past 30 years) I dunno but there is that story out there. and the EU also got rid of NUKES. And went to EVs and then wondered about power sources and imports oil and LNG and refuses Airconditioning and then fires come and destroy VINEYARDS and CROPS. And so its really BIBLICAL. Revelations? I dunno. Maybe. God knows but we dont. Like Revelations warned and Jesus warned too.
And so it is with the markets. Only God knows. NOT US. GOD. And when will it happen? I dunno. How is a bit easier and we have several culprits likely but also may be surprised....that ONE SNOWFLAKE as Rickards says that causes the avalanche to give way. One second its a skiers paradise and then the next its a skiers burial grounds. THE END.
So prepare. For Revelations and OUR SOULS. And prepare for financial avalanche in GOLD and SILVER in whatever form you deem appropriate for yourself. BUT I caution you on scams galore in coins, and that gold coins wont come back into "currency". What likely happens is we might return to gold standard and the dollar backed by GOLD to save it from extinction.....after devaluing....to something like 10k or 15k per ounce of gold, then FIXED. AnD that also stops CONGRESS FROM SPENDING MORE THAN WE HAVE GOLD IN FORT KNOX and why Trump was verifying what we have at Fort Knox (and West Point btw). I am long MINERS big and small and varied but ALL VERY STRONG COMPANIES AND DOING VERY WELL and some ETFs also performing VERY VERY WELL. YOU DECIDE.
Bill now has a castle in Poitou to get rid of that nobody wants. I am sorry. But thems the truth.
Fort Knox audit would be awesome. If it ever happens.
Wrote about that too.
Including the last time a person with a camera was allowed to take pictures inside Fort Knox. For the whole world to see - 1974.
https://lucaskandia.substack.com/p/nobody-has-actually-looked-not-really
"And that stops congress from spending more than we have in gold..." Come on Patrick, a smart guy like you knows there are no limits on Congress' ability to make money out of thin air, gold or no gold. Maybe if we had a world wide gold standard Congress might take pause.
Now Tom your cynicism has morphed into abject nattering nabobs of negativism. FIrst YOU know better.
Nixon ended the gold standard by E0 and that gave Congress permission to spend MORE on appropriations and BUDGET but HE had to sign the budget legislation which he did and so did all the others but it was supposed to be temporary. And Treasury issues the DEBT and now the FED buys that debt. UH OH. And Fed also has some levers to pull to create money. BUT CONGRESS does NOT create money. It appropriates in Budget bills and POTUS must sign it. So if they appropriate more than we have GOLD and we have DOLLARS BACKED BY GOLD that is tantamount to defaulting on BONDS and we will NEVER do that directly. ONLY by devaluing the dollar but if on Gold Standard its backed by gold and set.....and anyone who spends more can go to jail and should