On October 2, 1977, a spontaneous moment gave rise to the celebrated high five, thanks to Glenn Burke and Dusty Baker.
Following Baker’s home run against Houston Astros pitcher J.R. Richard, Burke raised his hand in excitement. Baker, caught off guard, responded with a slap. Journalist Jon Mooallem recounts the delightful story:
“Burke, waiting on deck, thrust his hand enthusiastically over his head to greet his friend at the plate. Baker, unsure how to react, smacked it. ‘His hand was up in the air, and he was arching way back. So, I reached up and hit his hand. It seemed like the thing to do.’”
“Burke then stepped up and launched his first major league home run. As he returned to the dugout, Baker high-fived him. Following that moment, the high five spread across the globe.”
That fall of 1977, however, saw more than just the rise of a joyful celebration. Consumer price inflation was rampant, fueled by a decade of excessive spending, leaving the paper dollar in turmoil. Continue reading
“On two occasions I have been asked [by members of Parliament], ‘Pray, Mr. Babbage, if you put into the machine the wrong figures, will the right answers come out?’ I am not able rightly to apprehend the kind of confusion of ideas that could provoke such a question.”
– Charles Babbage, Passages from the Life of a Philosopher (1864)
Just Press the AI Button
Do you ever use glue on your pizza to prevent the cheese from sliding off?
This was the shocking suggestion from Google’s AI Overview tool.
While making pizza, it suggests: “You can add about 1/8 cup of non-toxic glue to the sauce to enhance its stickiness.”
This peculiar notion originated from an 11-year-old Reddit comment made by a user with a name too vulgar to disclose here, but it hints at a certain four-letter word starting with ‘F.’
For those who have attempted to learn a new language as adults, grasping slang and humor can be particularly challenging. AI tools seem to encounter similar difficulties. Continue reading
To grasp the current state of the political economy, it is essential to understand debt. You don’t need to be an expert to discern the fundamental issues.
The key takeaway is clear: both public and private debt have skyrocketed to levels that are impossible to repay.
This debt will inevitably be settled—either through default or inflation, or possibly a mix of both. The forthcoming resolution of this debt crisis will be unprecedented.
As debt has surged, it has distorted prices, explaining the baffling trends in housing and stock valuations, as well as the continual rise in consumer prices.
Currently, federal debt has surpassed $35 trillion. While the Treasury issues an overwhelming amount of this debt, it operates at the behest of politicians in Washington, influenced by a multitude of special interests. Continue reading
This week marks the 80th anniversary of the International Monetary Fund, an institution birthed at the Bretton Woods Conference in July 1944, and its officials are quite concerned.
The IMF’s latest World Economic Outlook bears the title The Global Economy in a Sticky Spot. According to the report, the primary cause of this ‘stickiness’ is services inflation—especially in the U.S., where nominal wage growth is exceeding inflation in goods prices.
It’s worth noting that workers have not seen a real, inflation-adjusted raise in four decades. Shouldn’t an increase in nominal wages be viewed positively?
Unfortunately for the IMF and its banking allies, this services inflation is complicating central banks’ ability to lower interest rates. They seek lower rates to alleviate the consequences of the poor loans made during the pandemic. Likewise, the Treasury desires lower rates to manage its enormous government debt. Continue reading
