Econ Addicts

  • The Day After Panic: What the 1929 Crash Can Teach Us About Investor Psychology

    When markets crash, people lose their minds.They dump everything, swear off investing, and start Googling “how to live off the grid.” When the stock market crashes, panic spreads faster than reason. History offers a humbling reminder that even the worst-looking market moments aren’t always what they seem. On October 29th, 1929, a.k.a. Black Tuesday, Wall…

  • The World Runs on Energy. The Market Runs on Stories.

    Energy, foundationally, is the core driver of modern economies. It fuels every plane, powers every server, and keeps every home alight. Without it, nothing else functions. Yet on the stock market, the firms that sell us streaming subscriptions, branded clothing, or host our shopping habits in the cloud, are often worth far more than those…

  • Real Yield: What Is It and Why Is It Important?

    Photo by Firmbee.com on Unsplash Yield: It’s the name of the investing game. Since the dawn of capitalism, investors have striven for high yields. But what is a real yield? Real yield is the return on a bond investment after factoring in inflation. In simpler terms, it answers an important question that we often don’t consider: “What is…

  • What does Stock Market Overvaluation look like?

    The stock market’s valuation is a subject of great interest and debate among investors and analysts alike. Assessing whether the market is overpriced or overvalued by historical standards requires a comprehensive look at the key indicators and metrics. By analyzing various valuation measures, we can begin to understand potential market valuations and even possibly where…

  • Types of investment and financial companies

    With finance being such a massive industry, there are a wide variety of investment and financial companies that serve different purposes and cater to different aspects of this industry. These are most notable types: It’s important to note that the services and activities provided by these companies can overlap, and some firms may offer multiple…

  • Why do Asset Bubbles occur?

    Asset bubbles occur because of a combination of psychological, economic, and market factors. Here are some key reasons why: It’s important to note that asset bubbles are inherently speculative and carry risks. Eventually, bubbles can burst, leading to sharp price declines, market corrections, and significant financial losses. Market regulation, monitoring, and investor education play crucial…

  • A Global Look at Stock Markets: Key Players and Characteristics

    Stock markets play a crucial role in global economies, acting as platforms for buying and selling shares of publicly traded companies. These markets enable businesses to raise capital and provide investors with opportunities for wealth creation. Let’s take a journey around the world to explore some of the key stock markets and their unique characteristics.…

  • Stock Market Origins

    Before the creation of stock markets, there were ways to invest capital, such as real estate and perhaps tangible valuables that would increase in value over time. But when and where was there a way created to invest in the growth of businesses? The very first stock market (The Amsterdam Stock Exchange) began in 1602…