Economics Explored

Professor Chris Berg from RMIT University discusses the transformative potential of AI, likening it to the next industrial revolution. He argues that AI, particularly tools like ChatGPT, can boost white-collar productivity by up to 40%. Governments should cautiously avoid AI regulation to maximise these gains. Berg emphasises AI's bottom-up adoption and its exponential advancements. He also touches on the social implications, including the formation of parasocial relationships with AI and the potential for AI to displace certain jobs. The conversation, with ATA Chief Economist John Humphreys and Economics Explored host Gene Tunny, highlights AI’s dual promise of productivity gains and societal challenges.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsIntroduction to AI and Productivity (0:00)Government's Approach to AI Regulation (3:01)Bottom-Up Technology and Industrial Applications (9:40)Comparisons to Previous Industrial Revolutions (12:04)Social and Economic Implications of AI (16:46)AI and Human Labour (17:15)AI's Role in Public Policy Debates (35:41)Conclusion and Future Prospects (38:35)TakeawaysAI as “Infinite Intelligence” – Berg views AI, particularly LLMs like ChatGPT, as offering effectively infinite intelligence, capable of dramatically transforming productivity.White-Collar Disruption – AI is not just about automating manual labour. It poses a serious threat (and opportunity) for traditionally “smart” jobs like writing, research, and art.Regulatory Caution – While Europe has rushed to regulate AI, Australia hasn’t, allowing innovation and productivity gains to take root.Parasocial Relationships with AI – AI companions (e.g., AI-infused toys or assistants) may change human interaction, especially among children and vulnerable populations.Rethinking Migration via Robots – Remote-controlled humanoid robots may one day allow low-skilled workers in developing countries to "work" in advanced economies without leaving home.Links relevant to the conversationATA livestream on 21 August with Chris Berg:https://austaxpayers.substack.com/p/productivity-ideas-with-chris-bergLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Show host Gene Tunny and Australian Taxpayers’ Alliance Chief Economist John Humphreys tackle hot topics in Australian economic policy: the case for a cash flow company tax, the politics and maths of a gas ban, why stamp duty drags the economy, the growing size of government and the cost of living crisis.  Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsIntroduction and Greens’ Gas Ban (0:00)Government Spending and Adverse Effects on Economic Dynamism (8:32)Stamp Duty and Efficiency Cost (19:42)Inflation Data and Cost of Living Crisis (25:39)Productivity Commission's Company Tax Reform (28:55)Workers' Compensation and Tax Incidence (43:11)Tariffs and Taxation (54:52)TakeawaysCash Flow Tax Reform – The Productivity Commission proposes cutting company tax to 20% for most firms, adding a 5% cash flow tax, and keeping the system revenue neutral—aimed at boosting investment.Gas Ban Impact – John argues the NSW Greens’ proposal would delay global warming by only 10 hours by 2100, even under optimistic assumptions, yet could raise costs for consumers and businesses.Stamp Duty Inefficiency – Economic modelling by the Centre of Policy Studies (CoPS) shows stamp duty’s deadweight loss at 70–80 cents per $1 raised, far worse than GST or income tax.Government Spending Growth – The CIS’s Robert Carling claims over half of Australians now earn primary income from government sources, raising concerns about productivity and political incentives.Hidden Tax Burdens – Workers’ compensation costs, though nominally paid by employers, often reduce workers’ wages in the long run, John argues.Links relevant to the conversationATA livestream on 7 August:https://austaxpayers.substack.com/p/australia-considers-cashflow-taxJohn’s article on Greens’ gas ban:https://austaxpayers.substack.com/p/greens-propose-gas-banPC’s cash flow tax proposal:https://www.pc.gov.au/inquiries/current/resilient-economy/interimLeviathan on the Rampage: Government spending growth a threat to Australia’s economic futurehttps://www.cis.org.au/publication/leviathan-on-the-rampage-how-the-growth-of-government-is-draining-australias-economic-vitality/CoPS on stamp duty: Some taxes are inefficient at any level. Even modest reforms will helphttps://www.vu.edu.au/about-vu/news-events/news/some-taxes-are-inefficient-at-any-level-even-modest-reforms-will-helpLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Kyle Touchstone, Director of Raleigh Economic Development, shares with us how Raleigh became the top-ranked large city in the US, according to the Milken Institute. Kyle and show host Gene Tunny discuss the city's success in biotech, AI, quantum computing, and advanced manufacturing—all underpinned by the world-class universities and innovation ecosystem of North Carolina’s Research Triangle. The conversation also explores Raleigh’s growing role in the gaming industry, including its connection to Epic Games—the creator of Fortnite—and the rise of eSports in the region.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsRaleigh's Economic Growth and Milken Institute Ranking (0:00)Industry Sectors and Infrastructure in North Carolina (5:17)Significant Announcements and Investments (7:23)Population Growth and Quality of Life (12:23)Entrepreneurial Ecosystem and Community Support (15:08)Tax Policy and Economic Development (15:35)Quantum Computing and AI (19:49)Sports and Entertainment (43:40)eSports and Gaming (47:55)Lessons in Economic Development (50:39)TakeawaysTop Rankings: Raleigh was named the #1 best-performing large city by the Milken Institute and is part of the #1 state for business (North Carolina, per CNBC).Research Triangle Advantage: Home to NC State, Duke, and UNC Chapel Hill, the Research Triangle fuels innovation with top-tier talent and research.Massive Investment: Biotech firms, such as Biogen, Amgen, and Genentech, have invested billions, drawn by the infrastructure, affordability, and access to research.Quantum & AI Leadership: IBM’s quantum hub and regional AI focus are positioning Raleigh as a leader in next-gen computing.Entrepreneurial Ecosystem: Startups like Pendo and social enterprises like 321 Coffee thrive thanks to a strong support network and educational institutions.Links relevant to the conversationRaleigh, NC and Gainesville, GA Top Milken Institute’s 2025 Annual Ranking of Best-Performing Cities:https://milkeninstitute.org/content-hub/news-releases/raleigh-nc-and-gainesville-ga-top-milken-institutes-2025-annual-ranking-best-performing-citiesRaleigh Economic Development:https://www.raleighecondev.org/Zoom catch up with show host Gene TunnyJoin Gene and other listeners for a catch-up on Zoom on Thursday, 31 July at: 21.30 to 22.30 AEST/GMT+10 (Australian East Coast time)12.30 to 13.30 BST/GMT+1 (British Summer time)07.30 to 08.30 EDT/GMT-4 (US East Coast time)The link to the Zoom room is:https://us02web.zoom.us/j/9471595560RSVP by 20.00 GMT+10 on 31 July to contact@economicsexplored.comLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Show host Gene Tunny and colleague John Humphreys dissect Australia’s latest controversial Reserve Bank interest rate decision, debating inflation targeting and central bank independence. They challenge conventional economic thinking, particularly around the NAIRU—the Non-Accelerating Inflation Rate of Unemployment (NAIRU). The episode also tackles the implications of declining fertility rates globally, the controversial Tobin tax on financial transactions, and critiques current climate policies through an economic lens.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsReserve Bank of Australia's Interest Rate Decision and Inflation Targeting (0:00)Debate on RBA Independence and Inflation Targeting (8:12)Challenges Facing the Australian Economy (23:00)Libertarian Perspectives on Currency and Population Decline (35:33)Economic Implications of Declining Fertility (36:31)Tobin Tax and Its Economic Rationale, Pros and Cons (50:12)Conclusion and Future Topics (56:48)TakeawaysRBA Decision Controversy: The RBA's recent decision on interest rates highlights the complexity and uncertainty around inflation management.NAIRU Concept Critique: The Non-Accelerating Inflation Rate of Unemployment is flawed and may misguide policy, according to John Humphreys.Demographic Concerns: Declining fertility and aging populations could be the defining issue of the 21st century.Economic Impacts of Climate Policy: Current climate change actions often lack transparent cost-benefit analyses, raising economic risks.Risks of Tobin Taxes: Tobin taxes seem feasible at low levels but risk inefficiency, evasion, and global governance issues.Links relevant to the conversationFull ATA livestream “ATA Live #20: Tobin tax & interest rates”:https://www.youtube.com/live/34WBRZNbwwc?si=TPU14g7SffIXuWMPAustralian Taxpayers’ Alliance:https://www.taxpayers.org.au/Zoom catch up with show host Gene TunnyJoin Gene and other listeners for a catch-up on Zoom on Thursday, 31 July at: 21.30 to 22.30 AEST/GMT+10 (Australian East Coast time)12.30 to 13.30 BST/GMT+1 (British Summer time)07.30 to 08.30 EDT/GMT-4 (US East Coast time)The link to the Zoom room is:https://us02web.zoom.us/j/9471595560RSVP by 20.00 GMT+10 on 31 July to contact@economicsexplored.comLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Show host Gene Tunny delves into listener feedback on recent episodes regarding the feasibility of tax cuts preceding spending cuts ("starve the beast"), a capital gains tax on property, and the practicality of Georgist land taxes. He explores the complexities behind Australia's productivity challenges and regulatory capture issues raised by listeners.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsFeedback from Listeners and Show Updates (0:00)Discussion on the Starve the Beast Theory (2:26)Listener Feedback from Australia (8:25)Georgism and Property Taxation (20:11)Feedback on Productivity and Regulatory Capture (26:25)NDIS and Labour Force Participation (30:16)Tax Reform and Efficiency (41:15)Closing Remarks and Future Plans (50:21)TakeawaysTax Cuts Need Matching Spending Cuts: The "starve the beast" theory—that tax cuts alone will force spending cuts—is usually ineffective, historically resulting in higher deficits and debt.Capital Gains Tax Controversy: Taxing capital gains on family homes would be politically unpopular and controversial.Productivity and NDIS Debate: Growth in social services sectors, such as Australia’s National Disability Insurance Scheme, may negatively impact productivity measures, although this growth may also bring social benefits.Avoid Regulatory Capture: Effective regulatory reform requires vigilance against corporate lobbying and vested interests to ensure regulations genuinely benefit the public.Links relevant to the conversationPrevious episodes: Australia’s productivity problem w/ John Humphreys:https://podcasts.apple.com/au/podcast/australias-productivity-problem-can-it-be-fixed-w-john/id1480645795?i=1000712724732Rethinking Property and Taxation: The Georgist Approach w/ John Augusthttps://podcasts.apple.com/au/podcast/rethinking-property-and-taxation-the-georgist-approach/id1480645795?i=1000703744281Fixing Australia’s Housing Crisis: Fusion’s Plan w/ Owen Millerhttps://podcasts.apple.com/au/podcast/fixing-australias-housing-crisis-fusions-plan-w-owen/id1480645795?i=1000700967776Livestream on superannuation with John Humphreys and Cameron Murray:https://www.youtube.com/live/SlGCSaiGCVU?si=sj-ySFaccJUm08sgArticles on the failure of the land value tax in the early 20th-century UK:https://marginalrevolution.com/marginalrevolution/2025/03/the-failure-of-the-land-value-tax.htmlhttps://worksinprogress.co/issue/the-failure-of-the-land-value-tax/Book review of Kaldor’s Expenditure Tax monograph:http://piketty.pse.ens.fr/files/Kaldor1955ExpenditureTaxDebate.pdfLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Rebecca Homkes of Duke Corporate Education and London Business School joins the show to discuss how economic and trade policy chaos is hindering strategic decision-making in global firms. Rebecca shares how to spot the CEOs who are genuinely thinking ahead—those who anchor their choices in beliefs and prepare to adapt as conditions change. We also explore AI’s real value in business: not just saving time, but repurposing it for higher-value work and strategic growth.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsIntroduction and Overview of the Podcast (0:00)Manufacturing Jobs vs. Manufacturing Capacity (1:03)CEO Strategic Paralysis and Policy Uncertainty (16:31)Regulation and Economic Policy (16:47)Vision for the Future and National Security Concerns (20:10)CEO Strategies in Uncertain Times (23:36)Exemplars of Strategic Preparation (28:08)Impact of AI on Business Strategy (36:56)Challenges in AI Adoption (47:51)Future of Jobs and AI (49:57)Conclusion and Final Thoughts (52:01)TakeawaysChaos breeds inaction – CEOs facing policy and geopolitical uncertainty often freeze, avoiding significant investments due to a lack of clarity.AI’s true value lies in repurposed time – Businesses should measure AI’s success not by time saved, but by how that time is used for higher-value tasks.Strategic beliefs drive resilient planning – The best-performing organisations base decisions on articulated beliefs, not reactive responses.Links relevant to the conversationRebecca’s website:https://www.rebeccahomkes.com/Rebecca’s book Survive, Reset, Thrive:https://www.surviveresetthrive.com/Lumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Gene Tunny and John Humphreys dissect the causes behind Australia's productivity slump, analysing recent GDP data, labour market policies, and regulatory constraints. They debate whether tax cuts should precede spending cuts and question the effectiveness of central planning and government intervention (i.e. ‘picking winners’) in driving innovation. John is Chief Economist at the Australian Taxpayers’ Alliance (ATA). This episode is the audio of an ATA livestream on 12 June 2025.Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsNational Accounts and Productivity Concerns (0:00)Government's Productivity Roundtable and Regulatory Reforms (4:34)Economic Policy and Institutional Reforms (8:19)Challenges in Private Investment and Productivity Measures (13:56)Industrial Relations and Labour Market Reforms (18:14)Housing Market and Regulatory Barriers (22:56)Tax Reforms and Fiscal Responsibility (29:59)Superannuation Tax Changes and Political Implications (47:15)Conclusion and Future Prospects (57:22)TakeawaysAustralia is in an 8-year productivity slump, with minimal growth in GDP per hour worked and GDP per capita declining in most recent quarters.The Albanese Government’s proposed productivity roundtable is met with scepticism, particularly due to its unwillingness to touch industrial relations.Private investment remains weak, threatening future economic growth despite government spending and immigration-fueled expansion.Superannuation changes are controversial, especially the proposal to tax unrealised gains and the lack of indexation, prompting fears of unfair treatment of self-managed funds.Regulation, housing policy, and taxation are significant barriers to productivity; both speakers call for serious reform and question whether centralisation in Canberra helps or hinders progress.Links relevant to the conversationATA livestream (i.e. video of this episode):https://www.youtube.com/live/lDlner_PHc0?si=1M9krIiPwvIcFxLsATA website:https://www.taxpayers.org.au/Australia’s National Accounts:https://www.abs.gov.au/statistics/economy/national-accounts/australian-national-accounts-national-income-expenditure-and-product/latest-releaseLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Gene Tunny and Darren Brady Nelson delve into the gold reserves at Fort Knox, exploring whether the gold is as pure as expected and what the implications might be for the U.S. dollar if it's not. They cover the history of gold confiscation, central bank policies, and the enduring allure of gold in uncertain economic times. This episode was inspired by a question Gene received at a talk he gave to the AusIMM Sydney branch in April 2025. Darren is currently the Chief Economist at Fisher Liberty Gold. This episode contains general information only, and nothing in this episode should be considered as investment or financial advice.  Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsDarren Brady Nelson's Role at Fisher Liberty Gold (0:00)Investing in Gold Through Fisher Liberty Gold (3:00)The Gold in Fort Knox: Historical Context and Implications (5:11)The Quality and Purity of Gold in Fort Knox (7:58)The Role of Gold in Economic Uncertainty and Impact of Tariffs (28:57)Central Banks’ Role in Gold Markets (34:08)The Future of Gold and Monetary Policy (38:37)The Independence of Central Banks (40:53)The Role of Government in Economic Growth (48:46)Final Thoughts and Future Topics (53:41)TakeawaysFort Knox's Gold Purity Questioned: Much of the U.S. gold reserve came from coin melts, meaning it may fall short of the “Good Delivery” standard of 99.5% purity.Audit Calls from High Places: Figures like Trump, Elon Musk, and Rand Paul have recently advocated for a Fort Knox audit.Central Banks Stockpile Gold: Global central banks are shifting reserves from U.S. dollars to gold, with 1,000 metric tons of gold purchases expected in 2025.Gold as Growth, Not Just Protection: Darren's modelling shows gold may outperform the S&P 500 over the long term.Audit the Fed?: The episode concludes with a discussion on Ron Paul's push to audit the Federal Reserve and whether central banks should remain as independent as they are.Links relevant to the conversationFisher Liberty Gold:https://www.fisherlibertygold.com/Mises Institute article “The Gold at Fort Knox Was Stolen from Americans”:https://mises.org/mises-wire/gold-fort-knox-was-stolen-americansMises Institute article “How Much Gold Does the US Government Own, and Where Is It?”:https://mises.org/power-market/how-much-gold-does-us-government-own-and-where-itReuters report on central bank gold purchases:https://www.reuters.com/world/india/central-banks-track-4th-year-massive-gold-purchases-metals-focus-says-2025-06-05/Bernanke’s apology for Great Depression on behalf of the Fed to Milton Friedman:https://www.federalreserve.gov/boarddocs/speeches/2002/20021108/Perth Mint:https://www.perthmint.com/In Gold We Trust report:https://ingoldwetrust.report/?lang=en   Peter Bernstein’s book “The Power of Gold”:https://www.amazon.com.au/Power-Gold-New-Foreword-Obsession/dp/111827010XLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED 

Emmanuel Daniel, founder of the Asian Banker, explains how global economic dynamics are shifting. The discussion covers the decline of multilateral trade arrangements, the strategic blunders in U.S. tariff policy, why a BRICS currency won’t replace the US dollar as the global reserve currency, and the rise of domestic fintech infrastructures that challenge Western dominance in financial services. For example, the challenges Visa and Mastercard face in Indonesia are explored. Emmanuel Daniel, founder of the Asian Banker, explains how global economic dynamics are shifting. The discussion covers the decline of multilateral trade arrangements, the strategic blunders in U.S. tariff policy, why a BRICS currency won’t replace the US dollar as the global reserve currency, and the rise of domestic fintech infrastructures that challenge Western dominance in financial services. For example, the challenges Visa and Mastercard face in Indonesia are explored. Please email Gene your thoughts on this episode via contact@economicsexplored.com.TimestampsGlobal Economic Trends and Trade Wars (0:00)Impact of Trump's Trade Policies on the US (3:11)Evolution of the US Economy and Services Industry (6:19)Concerns About US Recession and Consumption (11:53)Reactions from Exporting Countries (14:56)Challenges for US Corporations in Emerging Markets (22:37)BRICS and the Future of the US Dollar (27:55)Geopolitical Implications of Trade Policies (39:12)Long-Term Economic Trends and AI (39:33)Final Thoughts and Future Prospects (42:18)How would you rate this summary?TakeawaysCapital Flows Over Trade: The U.S.'s remaining global leverage lies in capital flows—not trade—due to its deep, open financial markets and dominance in dollar-based transactions.Tariff Tactics Are Backfiring: Trump’s tariff policies lack coherence and are harming U.S. markets and consumers. There's no clear playbook, only reactionary moves.BRICS Currency Is a Mirage: Internal distrust among BRICS nations and incompatible fiscal policies make a unified currency unfeasible, at least in the near future.Global Shift in Financial Services: Countries like Indonesia and India are creating their own payment systems, sidelining U.S. giants like Visa and MasterCard in favor of local fintech solutions. We’re in a New Multipolar Era: Similar to pre-WWI geopolitics, the world is entering a new phase of power realignment—this time driven by technology, information, and AI.Links relevant to the conversationAbout this episode’s guest Emmanuel Daniel:https://www.emmanueldaniel.com/biography-and-contact/Previous episode on real time payments featuring World Bank expert:https://economicsexplored.com/2025/04/03/inside-project-fastt-real-time-payments-for-all-ep278/Lumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED Full transcripts are available a few days after the episode is first published at www.economicsexplored.com.

Kim Flynn, President of XA Investments, discusses her 25-year career in asset management, focusing on alternative investments. She highlights the challenges faced during the 2008 financial crisis at Nuveen Investments, where she refinanced $15 billion in frozen auction rate securities. Flynn explains the structure and benefits of closed-end funds, particularly interval funds, which offer periodic liquidity. She details XA Investments' three SEC-registered closed-end funds with $900 million in assets, emphasizing private credit strategies with yields ranging from 9% to 15%. Flynn also explores the potential of alternative investments like farmland, infrastructure, and crypto, noting their role in portfolio diversification and income generation. Note: this episode contains general information only and is not financial or investment advice. Please let Gene know your thoughts on this episode by emailing him at contact@economicsexplored.com.About Kimberly Ann FlynnKimberly Ann Flynn is a President at XA Investments. She is a partner in the firm and responsible for all product and business development activities. Kim is responsible for the firm's proprietary fund platform and consulting practice. Kim has developed an expertise in closed-end fund product development and is a frequent contributor to media and industry events on topics including interval funds, alternative investments and London-listed investment companies. Kim has earned the CFA designation and is a member of the CFA Institute and CFA Society Chicago. She is also Series 7, 63 and 24 licensed.Previously, Kim was Senior Vice President and Head of Product Development for Nuveen Investments' Global Structured Products Group. In her 11 years at Nuveen, she helped develop over 40 closed-end funds, raising approximately $13 billion in capital. In her leadership role at Nuveen, Kim was responsible for asset-raising activities through the development of new, traditional and alternative investment funds, including CEFs, ETFs, UITs and commodity pools.Kim received her MBA degree from Harvard University, where she was a William J. Carey scholar and President of the HBS Volunteers. Before attending Harvard Business School, Kim spent three years working in Morgan Stanley's Investment Banking Division (1999-2002) in their Chicago office. She earned her BBA in Finance and Business Economics, summa cum laude, from the University of Notre Dame in 1999 where she was a valedictorian candidate, Rhodes Scholar finalist and the first recipient of the Paul F. Conway Award, given to a senior in the Department of Finance who embodies Notre Dame's tradition of excellence and who enriches the ideals of the university.Kim was recently selected to serve on the Notre Dame Wall Street leadership committee. She also serves on the board of the Women in ETFs Chicago chapter as Head of the Mentorship Committee and on the advisory board of Youth Guidance's Becoming A Man program. She is an active member of the University Club of Chicago and the Harvard Club of New York City, where she conducts regular business. Kim and her family - husband, Leo; son, Teddy; and daughter, Rose - live in Lincoln Park.TimestampsIntroduction (0:00)Kim Flynn's Career Journey (3:09)Experience During the 2008 Financial Crisis (4:41)Development of New Financial Products Post-Crisis (7:17)Understanding Closed-End Funds and Interval Funds (8:48)Investment Strategies and Alternative Assets (21:01)Energy Investments and ESG Considerations (29:02)Gold, Crypto, and the Role of FinTech (31:36)Evaluating Asset Managers and Investment Strategies (35:03)Investment Outlook and Market Dynamics (47:07)TakeawaysAlternative Investments Offer Diversification: Kim Flynn explains that alternative investments, including real estate, private credit, and farmland, provide diversification benefits, reducing reliance on traditional stocks and bonds.Liquidity Management is Crucial: Interval funds allow limited liquidity for investors, making them suitable for illiquid asset classes like private equity and real estate.Lessons from the 2008 Crisis: Kim shares her experience during the financial crisis, where she managed funds impacted by frozen liquidity, highlighting the importance of flexibility and innovation.Private Credit and Farmland Are Popular: Kim notes that private credit and farmland investments have seen significant interest due to their yield potential and inflation protection.Understanding Liquidity Premiums: Kim emphasizes that investors should seek a 300-400 basis point premium for illiquid investments compared to equivalent public market assets.Links relevant to the conversationKim’s bio on the XA Investments website:https://xainvestments.com/team/US Treasury webpage on the Troubled Asset Relief Program (TARP):https://home.treasury.gov/data/troubled-asset-relief-programLumo Coffee promotion10% of Lumo Coffee’s Seriously Healthy Organic Coffee.Website: https://www.lumocoffee.com/10EXPLOREDPromo code: 10EXPLORED Full transcripts are available a few days after the episode is first published at www.economicsexplored.com.