4 ms·
The 76 minute MBA
I am a recent MBA grad currently working on an education start up.
This lecture was filmed in 2009. I learned more from this (highly entertaining) video than from graduate school.
http://www.youtube.com/watch?v=EgMclXX5msc
The lecturer is Peter Schiff - most famous for predicting the dot com bubble and the housing bubble.
There are several themes in this lecture you guys may find interesting and relevant:
-Sustainable businesses make decisions based on current and future cash flow. Real Estate and Tech are no different
-Bubbles are predictable
-Keynesian economics (low interest rates, stimulus, money printing, bailouts, subsidies, Fannie Mae and Freddie Mac) fuels bubbles
-The 'boom' is the problem, the 'bust' is the solution
-Moral Hazard (too big too fail) is not conducive to prudent, long term decision making
-When it comes to frothy markets, "this time is different" is not an advisable mentality
I hope this serves as an introduction to Austrian Economics and a wake up call to those who ignore the powerful effects loose monetary policy.
- shaggyfrog 15y agoPeter Schiff seems to be a classic story of survivor bias and confirmation bias. His Wikipedia entry has a section on "Investment Advice" that is chock full of examples.
- eprof 15y agoYa he is a polarizing figure in the world of finance. What did you think of the video itself?
- shaggyfrog 15y agoInteresting framing of my comment. "Polarizing figure" suggests something akin to a Great Taste v. Less Filling debate.
- eprof 15y agoI was hoping my post wouldn't incite ad hominem arguments. Moot point though, nobody watched it. Did you agree with the lecturers logic?
- actionbrandon 15y agoI am a big fan of Hayek (not exactly von mises, but close). Hayek himself was very wary of demogogery, which is something that I often see from austrians, and from Schiff. Further, Schiff seems to think that he personally has the ability to "fix" the economy and make it work properly. IMO A liberal (economic liberal) single all-knowing leader who wants to plan the economy (or anything, really) is just as dangerous as any other central planner.