fundamentalfinance.com Personal Finance and Economics

Fundamental Finance

The Millionaire Next Door is a great read for anyone interested in the habits of the wealthy.

Accounting -- We are creating a new accounting section with information on financial accounting, such as articles on balance sheets, income statements, and the statement of cash flows.

Mergers and Acquisitions -- We have started a new section about mergers and acquisitions. It will include articles on leveraged buyouts, merger arbitrage, and other topics dealing with mergers.

economics.fundamentalfinance.com -- The economics section has several articles about basic economic principles and links to articles from the NY Times and other sources. Topics in the economics section include game theory, monopolies, price controls, and much more.

Sweatshops and Child Labor -- Sweatshops and child labor are often cited when groups call for boycotts of businesses and trade sanctions against third world nations. Protesters assemble and debates regarding labor standards frequently emerge in news headlines. Although sweatshops and child labor are undesirable, they are a necessary step in each nation's development towards human rights and a developed economy and there are methods superior to boycotts to help other nations develop decent labor laws...

Stock Market Crash of 1929 -- On Tuesday October 29th, 1929, a stock market crash cost the market about 12 percent of its value. Although the loss was staggering, it was only a portion of the loss that was to occur in the following 3 years. In 1932 the DJIA reached a low of just 11% of its high in 1929, or a loss of roughly 89%...

The Efficient Market Hypothesis -- There are many people that claim a stock is a "strong buy" or that they know a stock price is going to increase or decrease substantially. They might be neighbors, relatives, authors of websites or newspaper articles, or even so-called "expert analysts." Many websites in particular, claim that they have found a pattern to get rich quick off of stocks. Analyzing this type of claim leads to a different conclusion - the Efficient Market Hypothesis...

401k 401k Withdrawal -- 401k's were designed to help us put away money for retirement and not make a withdrawal on it until then. If you want to make a 401k withdrawal before retirement (age 59 1/2) then you will most likely be penalized for it...