In the past when our economy needed a jump-start, the method of choice was interest rates. The Federal Reserve Bank (Fed) would step in and ratchet down interest rates. After several downward rate adjustments, we would reach a rate that would give the business community sufficient confidence to believe that the return on investment (ROI) […]

It’s official: On December 1st, 2008 (one year late), The National Bureau of Economic Research, a panel of academic economists charged with the official designation of business cycles, said that the United States economy has been in recession since December 2007, when economic activity peaked.
Meanwhile, executives who’ve mismanaged their corporations can look forward to the […]

Hara-kiri is a traditional Japanese form of honorable suicide. Income property investors who rationalize why a 5% capitalization rate is okay are also committing a form of suicide. It’s investment suicide, and it is not honorable. Yet, investors continue to purchase income properties at a 5% capitalization rate. Why? Three factors guide the decision making […]