Tag: Margins of Adjustment
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An important question to ask yourself when investing
You might have heard the news that stock price indexes are hitting record highs. So, many people are asking: is now the time to sell or is now the time to buy? My goal in this post is to explain why that is the wrong question and that the answer to the better question depends…
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The Truth About Investing in Fractional Shares: Marginal Thinking Explained
You may have seen the ads from banks suggesting investors should buy fractions of a share of a company. Normally, I applaud anybody who thinks on the margin. This post applies marginal thinking to this suggestion and argues that, with one exception, buying a fraction of a share displays ignorance or narrowness of thinking.
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Why All-You-Can-Eat Restaurants Survive and Thrive: Economic Insights
An all-you-can-eat restaurant seems like an obvious exception to the rules of basic economic logic, until you dig beneath the surface.
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Navigating Tariff Uncertainty using Inventories
People in Canada are thinking about the tariffs, retaliatory tariffs, reciprocal tariffs and threats of more from the US. There was a time before and, eventually, markets will adjust to the time after. The challenge is to manage the time in between. The media focus on layoffs and, until other buyers can be found, production…
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Economic Lessons Hidden in Popular Movies
The Oscars® are handed out on March 2, and, in many Canadian provinces, Spring Break for high school students is soon after. So, now is a good time to remember that some movies present important economic ideas entertainingly. Most movies do a bad job of conveying economic ideas precisely.
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Thinking Strategically while Getting Punched in the Mouth
Canada, and other countries, were just punched in the mouth by the threat of tariffs imposed by the US. When faced with a problem, some people propose a “plan” to fix it but a plan is not a strategy. Strategizing is hard work. Some memorable quotes offer memorable advice.
5 Basic Principles of Economics 