April 19, 2016

To go along with last week’s video about the debt versus the deficit, here’s another quick piece that sums up a complicated financial concept using striking visuals. In this video, The New York Times constructed a Rube Goldberg machine that illustrates the consequences of an interest rate hike by the Federal Reserve. In fact, the segment’s running time is so short that you might consider showing it twice just to get the point across (and Continue reading

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April 15, 2016

For years Americans have heard about the dangers of the national debt from TV talking heads as well as politicians on both sides of the aisle. But what exactly is the national debt, and how does it differ from the deficit? And just how frightening are these figures that top out in terms of billions and trillions of dollars? Along with defining “the debt” versus “the deficit,” this quick video also explains why GDP plays a major role in any Continue reading

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April 14, 2016

Last week’s revelations surrounding the Panama Papers scandal set off a firestorm of debate about offshore tax avoidance. Media outlets across the globe exposed the names of many high profile clients of the offending law firm Mossack Fonseca, including soccer superstar Lionel Messi and several heads of state. As many in the U.S. pointed out, however, the Panamanian firm’s roster of shell company-seeking clients had a noticeable lack of Americans. According to some experts, this is due to lenient incorporation Continue reading

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April 12, 2016

For decades some wealthy people and businesses have avoided paying taxes in their home countries by setting up “shell companies” in tropical locales like the Cayman Islands or the Bahamas. The lax tax rates of these nations allow individuals and organizations to quietly keep their money out of government coffers. In today’s digital age, however, it’s a lot harder to keep a secret than it used to be. Just ask the clients of the Panamanian law firm Mossack Fonseca, the Continue reading

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April 8, 2016

By now, anyone with an online presence knows that you need to think carefully about what you post on social media. Just one ill-considered joke or comment made in anger can haunt a person for years, harming their future prospects and reputation. Along with these everyday hazards, those who come from wealth run a number of additional risks if they flaunt their fortune too flagrantly online. Not only does this tacky act make them susceptible to thieves, but it also Continue reading

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April 7, 2016

Ever since e-commerce started rising in prominence, the value of the retail showroom has diminished significantly. After all, consumers no longer need to visit a store to see what types of products are available for purchase. Not only does a quick search on Amazon accomplish this goal within seconds, but the site also provides helpful resources such as customer reviews and recommendations. Nevertheless, the online retail model doesn’t work the same way for all products. Consumers on the whole still Continue reading

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April 5, 2016

Last year millions of Americans celebrated the Supreme Court’s decision to legalize gay marriage. But they certainly weren’t the only ones applauding the landmark ruling: dozens of brands showed their support on social media. Such an outpouring of advocacy from established companies would have been unthinkable just a decade ago. Times have changed, though, and businesses today have started to realize how important LGBT issues are to many consumers, especially young people. As a result, companies that Continue reading

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April 1, 2016

This week, America’s labor lobby scored a major victory thanks to a split Supreme Court decision that upheld unions’ right to collect membership fees from public sector workers. The short video linked below brings clarity to this complicated story and focuses on the perspectives of both sides.

https://on.wsj.com/1VSf1RU

Questions:

  1. Is it ethical to require teachers like Rebecca Friedrich to pay for membership to unions they oppose?
  1. What benefits do union members receive from the dues they pay?
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March 31, 2016

Last month, the FBI and Apple became entangled in a legal battle that many assumed would rage for months. The conflict centered on an iPhone owned by one of the perpetrators of the San Bernardino mass shooting. While the FBI accessed most of the device’s data through the cloud, the government claimed a security system installed on the phone prevented them for obtaining the rest of its information. Apple refused to help the feds bypass the security feature, however, claiming Continue reading

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March 29, 2016

At many large corporations, top executives earn as much as 80 percent of their salaries from performance-based bonuses. The idea is that CEOs will be more likely to do a good job if the company rewards them for success, such as increasing quarterly earnings or raising share prices. According to a new study from the London Business School, however, this widely accepted strategy might not be as effective as many companies think.

First of all, the study argues that contingent Continue reading

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