Economy in 2010

This is taken from IMF Report of 2010 Outlook:

After a deep global recession, economic growth has turned positive, as wide-ranging public intervention has supported demand and lowered uncertainty and systemic risk in financial markets. The recovery is expected to be slow, as financial systems remain impaired, support from public policies will gradually have to be withdrawn, and households in economies that suffered asset price busts will continue to rebuild savings while struggling with high unemployment.

– Executive Summary

So, do you believe those guys?

Free Trade Pandora

This is still from APEC meeting a few days ago. Mr. President (RI-1) said that Indonesia is ready to implement free trade area (FTA) program. Faisal Basri, a well known economist, disappoint toward the statement. According to him, Indonesia is not ready to implement the FTA. This is because Indonesia doesn’t has a good domestic integrated economy. Bad infrastructure made local economy turns into a high cost economy. If the FTA implemented now, it could damage local economy and moreover made Indonesia to be only a net consumer.

The Warrent Buffet Way – Part I

Here’s what I’ve got from reading “The Warrent Buffet Way” written by Robert G. Hagstrom:

* Took the ideas and integrate into your own approach in investing. Only from your own ideas you can create wealth. Be your own self.

* When the price of a company stocks are sold below their intrinsic value; act firm and decisive.

* Preferences in buying stocks:

1. Buy certainty in a discount price. Certainty in here means: possibility to predict and forecast the next economy condition of a company.
2. You’re in your competency circle: a cumulative of your experience.
3. If there’s no opportunity at all then wide your competence circle by learn diligently of a new business models.

* Knowledge from Benjamin Graham:

APEC 2009 Result

The Asia-Pacific Economic Cooperation (APEC) held a meeting in Singapore on November 11-15, 2009. The consensus emphasis on free trade area on the Asia-Pacific (FTAAP). The consensus also declares 10 programs: