The Eighth Wonder of the World
On the fifth day of November in 1626, Native Americans sold the island of Manhattan to the Dutch for the equivalent of 24 dollars. The absurdity of this story has unsurprisingly compelled some historians to question its veracity, and others to try to approximate inflation. These things do not interest me. Like any normal person would, I see this as an economics lesson. Let’s suppose the legend is true, and suppose that following the sale, the Native Americans appointed a chief investment officer (CIO) of moderate intelligence to manage the 24 dollars. Said CIO achieves a respectable annual return of Continue reading The Eighth Wonder of the World