Monthly Archives: January 2017

Book Bits | 21 January 2017

Big Agenda: President Trump’s Plan to Save America
By David Horowitz
Summary via publisher (Humanix)
Donald Trump’s victory in the 2016 election was more than a historic upset. It was the beginning of a major political, economic, and social revolution that will change America — and the world. One of the nation’s foremost conservative commentators, New York Times bestselling author, and a mentor to many of Donald Trump’s key advisers, David Horowitz presents a White House battle plan to halt the Democrats’ march to extinguish the values America holds dear.
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Moderate US Growth Prevails At Dawn Of Trump Era

Donald Trump is set to become the 45th President of the United States today at 12 noon Eastern and he will inherit an economy that’s expanding at a moderate pace, based on available data published to date. Optimists argue that the new administration’s policies will boost the growth rate, but there’s also plenty of skepticism in other quarters about what to expect, in part because of concerns that Trump’s economic plans could start a trade war. The one thing that everyone can (or should) agree on at the moment is that the world’s biggest economy ended 2016 on a relatively high note, according to a range of indicators. There are still many problems facing the country from an economic perspective, but for the moment there’s a respectable tail wind blowing.
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Wealth Creation Is Another Name For Poverty Reduction

How much lower would the world’s poverty rate be if Warren Buffett’s skills in identifying value in the corporate sphere had evaporated decades ago? How many fewer families living hand to mouth would be suffering if, in 1980, IBM didn’t offer a young Bill Gates and his fledging company the opportunity to develop an operating system for Big Blue’s then-radical idea of producing personal computers for the masses?
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Book Bits |14 January 2017

A Good Disruption: Redefining Growth in the Twenty-First Century
By Martin Stuchtey, et al.
Summary via publisher (Bloomsbury)
Disruptive technology is one of the defining economic trends of our age, transforming one major industry after another. But what is the true impact of such disruption on the world’s economies, and does it really have the potential to solve global problems such as low growth, inequality and environmental degradation? The provocative answer is that such disruption could indeed solve many of these issues, but that it won’t… at least, not on its current trajectory.
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A Caveat On Backtesting Caveats

Ben Carlson at Ritholtz Asset Management reminds us that backtesting offers no shortcuts to investment nirvana. As he correctly points out, there are numerous shortcomings in the art/science of reconstructing the historical results of an investment strategy. But it’s also true that backtesting, if used wisely, can be a powerful tool for sensibly managing expectations with regards to return and risk. In fact, there’s really no reason not to run a backtest, even on strategies that appear to be free of mystery. The tough part is figuring out how, or if, to use the results. Fortunately, clear thinking and planning can boost the odds that backtesting will be a productive exercise.
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