Are there wealth building books from the Austrian perspective? ...How to build wealth, run business, ...etc
Jonathan: Are there wealth building books from the Austrian perspective? ...How to build wealth, run business, ...etc
I don't know of any books specifically titled Austrian Investing or anything like that. However, if you're looking for books written by successful people who adhere to Austrian economics check out Jim Rogers, Peter Schiff, and Marc Faber.
As far as Faber I don't own any of his books, but I know he wrote a fairly popular one called Tomorrow's Gold about investing in Asia I believe.
Jim Rogers: Hot Commodities, A Bull in China, and A Gift to My Children. - Rogers is great, he is such a down to earth, no nonsense person. His investment advice is practical but enlightening. The last one listed is not totally about investing but I still thought it was an entertaining book by one of the greatest investors of all time. I'm a huge fan of his and try to base my investment decisions off his principles.
Peter Schiff: Crash Proof (original and version 2.0) and The Little Book of Bull Moves in Bear Markets - Everybody knows Peter Schiff - his advice is always sound.
Hope that helps!
Best regards,
Chris
I seriously doubt if any real life businessmen consult Austrian or any other school's economic theories before conducting their business. If they did we wouldn't have this messy scenario we have today.
Not offices and bureaucrats, but big business deserves credit for the fact that most of the families in the United States own a motorcar and a radio set. - Ludwig von Mises
MarketFundamentalist: I seriously doubt if any real life businessmen consult Austrian or any other school's economic theories before conducting their business. If they did we wouldn't have this messy scenario we have today.
I disagree with this. While I don't think people like Jim Rogers are sitting there with Human Action open trying to come up with an investment strategy, I think that understanding real economics (Austrian economics) provides investors with insight they would otherwise not have. An example of this may be watching the insane credit expansion and understanding that there will be a boom, and knowing to invest in asset classes that typically perform the best relatively during this period. Next Austrians will understand that a bust has to occur and will tend to get out earlier and possibly begin to short the sectors that expanded solely due to the credit expansion. We know after artificially suppressed interest rates there will be huge interest rate increases down the road and we can short fixed income. We also understand that the government cannot make the economy better, and should invest accordingly. Also, just because we are in a mess doesn't mean anything about certain investors/businessmen; the majority may not understand real economics, but that doesn't mean they all don't.
Consult the post previous to yours.
To paraphrase Marc Faber: We're all doomed, but that doesn't mean that we can't make money in the process. Rabbi Lapin: "Let's make bricks!" Stephan Kinsella: "Say you and I both want to make a German chocolate cake."
See Peter Klein.
Mark Skousen
http://en.wikipedia.org/wiki/Mark_Skousen
I've never read his stuff, but he's an Austrian and a friend of Peter Schiff.
What do you mean by the term "wealth building"? What do you mean by "the Austrian perspective"?
Regards, onebornfree.
For more information about onebornfree, please see profile.[ i.e. click on forum name "onebornfree"].
As in handling personal finances. How to invest in different vehicle to reach profit or return, using Austrian economics. (Stocks, bonds, real estate, ...etc)
Peter Schiff is pretty good as is his book "Crash Proof"
I usually check out some of the articles that get published here from authors who tend to be "mostly" Austrian:
http://www.safehaven.com/
Jonathan: As in handling personal finances. How to invest in different vehicle to reach profit or return, using Austrian economics. (Stocks, bonds, real estate, ...etc)
I see, although still a bit vague
Von Mises himself said :
" If it were possible to calculate the future state of the market, the future would not be uncertain. There would be neither entrepreneurial loss nor profit. What people expect from the economists is beyond the power of any mortal man........" . [See "Human Action" ]
That being said, there are some somewhat famous "Austrian" investment advisors, such as Gary North, and Peter Schiff who apparently do not believe this simple truth and who therefor regularly make predictions about the economic future and give "investment advice" based on those predictions.
As far as I am aware, making predictions about the future state of financial markets is decidedly "un-Austrian", but I seem to be in a very small minority on this matter. Oh well, c'est la vie.
In any case, it would appear that they [North, Schiff etc.] have not read, or at least have not taken to heart , LVM's words.
Before you go trusting any of your hard earned money [assuming you have some] to "Austrians" [or any one else], as well as reading/considering the LVM chapter linked to above, you might want to take a look at 2007 New York times bestseller "The Black Swan", a study of randomness in the universe- including [but not limited to] the randomness in markets and market phenomena.
At least then you'd be "one up" on Mr North and Mr Schiff , it would seem.
P.S. See: Financial Safety Rule #1 . - the economic future is unknowable.
onebornfreedotblogspotdotcom: Von Mises himself said : " If it were possible to calculate the future state of the market, the future would not be uncertain. There would be neither entrepreneurial loss nor profit. What people expect from the economists is beyond the power of any mortal man........" . [See "Human Action" ] That being said, there are some somewhat famous "Austrian" investment advisors, such as Gary North, and Peter Schiff who apparently do not believe this simple truth and who therefor regularly make predictions about the economic future and give "investment advice" based on those predictions.
You seriously abuse this quote. "There would be [no] entrepreneurial ... profit" if the future were not uncertain... the very fact of uncertainty is why entrepreneurs like North, Schiff, Skousen, Rogers, Faber and others can make a profit.
Clayton -
ClaytonB: You seriously abuse this quote. "There would be [no] entrepreneurial ... profit" if the future were not uncertain... the very fact of uncertainty is why entrepreneurs like North, Schiff, Skousen, Rogers, Faber and others can make a profit. Clayton -
"There would be [no] entrepreneurial ... profit"
What gives? Surely there is some misunderstanding?
I don't know where or who you are quoting from- please reference.
If it is not a Mises quote, then you might be [unintentionally, I assume] "abusing" [to borrow your own terminology] the Mises quote I used, part of which states:
"There would be neither entrepreneurial loss nor profit." [emphasis added].
This quote is taken from Human Action, chapter 38 "THE PLACE OF ECONOMICS IN LEARNING" - part 3. "Forecasting as a Profession", paragraph 3.
Jonathan -
This is exactly what I've been trying to find for a few months now. For various (and some obvious) reasons it is elusive. I've read Schiff, Skousen, as well as the various gold bugs. But I still have not quite found what I am looking for.
For all the predictive ability (long run, not market fluctuations) of the Austrian school it seems there would be somebody able to provide some practical wealth protection advice other than "get out of debt & buy gold". I'm not looking for a get rich quick scheme. Just a place to park my assets to minimize risk of devaluation (I would seriously be happy to just beat inflation - actual inflation - not the BS in the CPI).
The current system has strayed VERY far from an actual free market, and the rules of the game can be (and are being) manipulated by the powers that be at any given moment. Thus, it seems that any attempt to predict future conditions is not just difficult, but futile. Completely understandable, but immensely frustrating.
G
G-Money: Jonathan - This is exactly what I've been trying to find for a few months now. For various (and some obvious) reasons it is elusive. I've read Schiff, Skousen, as well as the various gold bugs. But I still have not quite found what I am looking for. For all the predictive ability (long run, not market fluctuations) of the Austrian school it seems there would be somebody able to provide some practical wealth protection advice other than "get out of debt & buy gold". I'm not looking for a get rich quick scheme. Just a place to park my assets to minimize risk of devaluation (I would seriously be happy to just beat inflation - actual inflation - not the BS in the CPI). The current system has strayed VERY far from an actual free market, and the rules of the game can be (and are being) manipulated by the powers that be at any given moment. Thus, it seems that any attempt to predict future conditions is not just difficult, but futile. Completely understandable, but immensely frustrating. G I might be able to help. Private message me if interested. In the meantime , regarding a simple plan for beating [real] inflation, perhaps check out the results given in the graph shown in very last link in my second post to this thread [i.e "Financial Safety Rule#1 link]. regards ,Onebornfree.
I might be able to help. Private message me if interested.
In the meantime , regarding a simple plan for beating [real] inflation, perhaps check out the results given in the graph shown in very last link in my second post to this thread [i.e "Financial Safety Rule#1 link].
regards ,Onebornfree.
I'm very surprised nobody has mentioned the following so far. If not "Austrian", I think the author has definitely been influenced by the school, and the book's been advertised in several mises' dailys:
http://books.google.ca/books?id=VruBPQAACAAJ&dq=%22applied+value+investing%22+calandro&cd=1
"When the King is far the people are happy." Chinese proverb
For Alexander Zinoviev and the free market there is a shared delight:
"Where there are problems there is life."
Regarding some of the posts above - I don't think anybody is claiming that understanding Austrian economics is going to provide one with a crystal ball of what's going to happen in the market. However, understanding economics certainly helps a person grasp what is happening, what the consequences will be, etc. and can assist them in decision making.
For example, somebody educated in Austrian economics sees ridiculous credit expansion going on in one country. They see the savings rates are low, but interest rates are being suppressed by the central bank. They're witnessing the boom, they know it's artificial, they understand that fundamentals are not driving the delusional prosperity of the said country. They also understand there will be a recession. This is what economic theory teaches.
Economic theory explains what will happen if credit expansion continues (crack up boom) or stops and proper steps are taken. Economic theory, however, cannot tell us exactly when these events will occur nor what the central bankers are planning to do at their next policy meeting. It also cannot say how people will react to the changes that are occurring. It cannot necessarily tell us what industries will get crushed and which ones may weather the downturn as if nothing happened.
If you want to be successful at investing you need to understand the market. You can read any number of economics books which are fantastic and will help you become a more knowledgeable person than 98% of people in the world. However, you will need to really get your hands dirty and start investing and following markets constantly to get a good grasp on wealth building. Understanding the different economic and political situations going on around the world, trying to find out what affect a contaminated soybean crop in Brazil means for wheat farmers in Kansas and gauging what the response of the markets will be to such situations. Reading earnings reports, looking at commodities, bonds, stocks, and seeing how the data change with different events. You try to understand it so well that you can piece all of it together and be ahead of the curve. Watching the European markets open at 3AM and see what's happening and try to understand how this will translate in the US in the morning; where's the momentum heading? It truly is fascinating and becomes a passion.
Learn Austrian economics and let it inform you and guide you, but if you want to become a good investor or entrepreneur look beyond it as well.
in Mises Media there are some conference speakers who talk about their businesses. Don't remember which ones, though. I've listened to nearly everything in Media.