I have decided to post some thoughts about personal finance in this blog. The subject has been a favorite of mine for a long time, and it sits at the center of several topics such as economic and demographic trends, managing a family, psychology, and building and maintaining close relationships. As an example, children are no longer net economic assets to their parents, but rather a series of very large expenditures. In this world, the value of managing this series of expenditures versus available resources is high, especially if the family is large. Mismanaging the expenditures may lead to stress, bankruptcy, failure of marriages, and low individual prospects.
In this changed world, it seems worthwhile to raise our level of thinking on the subject and to challenge what we think we know. I am not looking for the one true approach that would put our lives in straight-jackets of long-term planning. Rather, the goal is to play a smart game that would tend to maximize our happiness in the world in which we live.