Italians consume olive oil like it's water.  My grandparents used olive oil for cooking, shining shoes, preserving food, lubricating machinery (including various shotguns), curing various ailments (including stomach ulcers), etc.  I wouldn't recommend you use olive oil to lubricate your shotgun given other alternatives on the market, but if you produced your own olive oil (as my grandparents once did) you'd probably find alternative uses for the golden liquid as well!

If you're going to stick to olive oil for preparing and eating food, then you have plenty of good choices on the US market.  First, let's start with some basics about olive oil (including extra virgin olive oil):

1. Olive oil DOES NOT get better with age.  In fact, olive is meant to be consumed as quickly as possible (fresh=good).

2. Olive oil DOES NOT like light or warm temperatures.  In turn, it should be stored in a cool, dry, and dark environment.

3. Olive oil is a type of fat (like butter and lard) and has a good amount of calories.

4. Unlike butter, for example, olive oil has wonderful health benefits due to its high content of monounsaturated fatty acids as well as high content of antioxidative substances. 

5. Olive oil helps lower bad cholesterol and helps with good cholesterol.

6. Extra virgin olive oil is produced without using heat or chemicals (extra virgin olive oil also must have an acidity level of less than one percent).
 
7. Olive oil is extracted from crushed olives.

Both my grandparents and parents have told me wonderful stories about harvesting olives on the family farm in southern Italy and the process involved to produce both first press olive oil (that is, the first batch of olive oil produced via an old fashioned press. Nowadays, most olive oil is produced via continuous centrifugal presses) and extra virgin olive oil.  I've tasted much of the olive oil produced by my family in Italy and to be perfectly honest the olive oil is extremely intense and almost too flavorful and viscous for everyday use (at least for my American palette).

In terms of everyday olive oil that can be purchased in most supermarkets in the US, I have a couple of favorites:

- Filippio Berio Olive Oil for everyday use- I find this olive great for both cooking (frying, sautéing, etc.) and using raw in salads and for finishing dishes (like bruschetta, any type of sauce for meat, etc.).  There is a definite olive taste to Berio and it's not overly oily like many mediocre olive oils on the market today.

- Colovita Exta Virgin Olive Oil for items that don't require cooking - I use Colovita Extra Virgin Olive Oil (EVOO as Rachel Ray like to say) for pasta sauces, tomato salads, and for dunging soft crusty bread from my favorite bakery (Sullivan Street!).  Unlike celebrity chefs such as Mario Batali, I don't believe in using extra virgin olive oil exclusively in my kitchen (that is to say, for cooking, finishing, raw, etc.).  

- Bertolli Olive Oil - Bertolli is very similar to Berio in terms of quality, taste, and use.  In fact, I have a hard time discerning between the two, however I do have a preference for Berio if I'm faced with a choice at my local supermarket.  

In terms of high end olive oils from small producers, it's really a hit or miss type of thing.  I can't recommend a specific brand because of location and distribution.  For example, here on the East coast I often buy my extra virgin olive oil from Bartolomeo's Italian Food Emporium (click here for a review of the shop from Jason Perlow at Off the Broiler) that imports the oil from the owner's olive orchards in Puglia (the olive oil is fresh and has a nice balance of flavor and viscosity without being too overpowering or thick).  My recommendation on finding specialty olive oil is to try different producers and stick with a brand once you find something you like (also be sure to buy in small quantities unless you plan on using the oil every day).  Also, price doesn't equal quality.  In fact, I would opt for a fresh, recently produced bottle over an expensive extra virgin, first pressed, olive oil that has been sitting on the shelf for months.  

Finally, as I've said about wine, you should only buy and use what you like (don't listen to critics unless you've tried the product yourself).  

They say that money can't buy happiness and I certainly agree.  However, did you ever stop to think about what money can, indeed, buy? 

Here is a list of ten things that money can help you buy:

1.  Money can buy peace of mind.  Do you have trouble sleeping at night because you are worried about bills or your current job status?  Well having enough money in the bank to not worry about your job for a year or two will let you sleep like a baby.

2.  Money can buy you comfort.  Do you live in a small cramped apartment with two kids and neighbors above you constantly screaming?  Money can allow you to put a 20 percent down payment on a comfortable, quiet, home in a safe neighborhood.

3.  Money can buy you a reliable and safe car.  Do you drive a late model vehicle that is constantly breaking down or in need of monthly maintenance?  Is your vehicle equipped with anti-lock brakes, stability control, and at the least 4-6 airbags?  Money can allow you to buy a quality used (or new) vehicle from a reliable manufacturer.

4.  Money can buy you a future.  Would you like to not work and live well at some future point?  If the answer is yes, then money will let you prepare for a future without a boss and making income without working.  In short, you can use money to buy stock, mutual funds, index funds, CDs, etc.

5. Money can buy you confidence.  Do you swallow your pride and work for an organization or boss that you do not respect or just plain hate?  Well, if you have money in a bank account money can give you the courage to walk away from a bad situation and start fresh.

6. Money can buy you the ability to give.  Do you wish you could help a not so well off sister or brother or contribute to your local Red Cross?  Well, money can help you be more charitable and giving.

7.  Money can buy you time.  Do you often find yourself wishing you could spend more time exercising, reading, learning to cook, traveling, spending time with family, et. al. ?  Retiring early by way of making the right financial moves in life can give you the time to do the above.

8.  Money can buy you nice food.  Do you clip coupons to the point that you will not buy something you are craving?  Do you buy sub par ingredients and generic store brands even when you know quality is poor?  Money can help enjoy great meals (including wine).

9.  Money can buy you experiences.  Do you not travel because you're worried about airline fares and hotel prices?  Do you decide often against a trip into the city to enjoy the opera and a glass of champagne?  Money can help you expand your mind and bring you places beyond the town you were born in.

10.  Money can buy you opportunity.  Do you wish you could buy a home in today's economic environment because interest rates are low and home prices have been dramatically reduced?  Do you wish you could buy GE stock because it's under $20 and inevitably will rebound to record highs in the near future?  Money can help you leverage opportunities that would normally not be able available in ordinary times

Now more than ever the idea of an emergency cash fund is critical.  Many personal finance gurus recommend that individuals and/or families put aside at least 3 months of living expenses in a conservative vehicle (such as a CD, money market fund, or traditional savings account).   Living expenses include: mortgage, taxes, utilities, food, gas, and car payments.  

An emergency cash fund is a must in any economic environment (including good times) as you never know when you may lose your job, need to make an emergency home repair, etc.  I also believe that establishing an emergency cash fund should be done early (that is, within the first six months of your first job) and ahead of any other money matter (even before funding your 401K).  Having cash at the ready provides a sense of security and freedom and also builds discipline in terms of saving for the cash fund.

I like to have well over 3 months of emergency cash on hand and I would recommend an amount closer to 6-9 months of living expenses.  Look for an online money market fund via ING or Vanguard and connect it with your checking account (this way transferring money to your emergency fund is easy and convenient).

Scordo.com is away!  Normal postings will resume on Monday December 29th, 2008!  Happy Holidays.

Vince

- Alison offers advice on decoupling Christmas from spending.  via Diamondcutlife.org

- FrugalDad touches on a key topic: Breaking the Monthly Payment Mentality.  via Frugaldad.com

- NYC blogger FreeFromBroke asks an interesting question: If You Were Rich How Frugal Would You Be.  via FreeFromBroke.com

- FreeMoneyFinance provides some insight on avoiding a used car-lemon.  via FreeMoneyFinance

- Finally, Lynnae has a neat entry on her favorite frugal, Christmas tradition.  via BeingFrugal.net

If you're looking for a hardy salad to satisfy your hunger during the winter months, look no further than my all time favorite snow-month salad: Fennel, Honey Crisp Apple, and arugula Salad.  

Lets start with the ingredients:

- 1 medium sized fennel (you should be able to find this vegetable at most markets; here on the East coast it's readily available, but you may need to ask around if you live outside a large city).
- 1 bunch of arugula (taste it as it should have a bitter flavor).
- 1 medium sized golden crisp apple (this type of apple has a nice firm texture, but delivers great, sweet, flavor and offers a nice contrast with the bitter arugula).
- ¼ cup of good olive oil.
- 3 tablespoons of balsamic vinegar
- 1 tablespoon of Dijon mustard
- Salt and pepper to taste

Start by washing the arugula well (1-2 times in cold water is best) and pat drying the green leafy parts.  Remove the stems and hand tear the leaves.  Next, wash and peel the apple and cut in half (removing the core and seeds).  Cut the apple again so you have 4 quarters and thinly slice each piece (you want enough thickness to give a nice crunch, but don't cut the slices to thick).  Next, cut the stalk off the fennel bulb (you can save the bulb for making stock, but it doesn't have too many uses) and remove the first, outer, layer.  I like to cut the fennel bulb in half and cut the bottom portion off of each half that hold the layers together.  Thereafter, you can lay each of the halved bulbs on your cutting board and cut think pieces (here you'll want to cut as thinly as possible.  

In terms of the dressing, click here for my basic vinaigrette recipe (using the above ingredients and substituting red wine vinegar for balsamic vinegar; you can also omit the thyme if you'd like).

Enjoy the salad with braised short ribs or with a bowl of steaming lentil soup.  Here's a variation of the above fennel salad served with fish. 

A September New York Times article argued that the key to "wedded bliss"  is a shared viewpoint on money matters and I couldn't agree more with the basic premise.  I'm sure you all know couples who couldn't be more different: she likes Prada and drives a shiny black Lexus, while he dresses like he just returned from Woodstock and eats peanut butter and jelly sandwiches 6 nights a week.  Big differences in marriage (whether they be about raising kids, time spent with family, or money matters) often lead to big arguments and, at times, divorce.  So, it's vital that successful partners have the same basic goals in life and can identify with the same "value proposition" (marketing speak for what makes a product special). 

In terms of couples with successful personal finance lives, they often follow a few basic tenants:

1.  Communication.  Do you and your spouse talk often about important issues?  Do you talk like adults about money, the kids, and how annoying certain family members can be at times?  If you don't lay things out and speak frankly, say, about how much money you'd like to be investing each month, then you're both not communicating.    

2.  Money goals.  Do you both have money goals?  Every couple should have similar thoughts on: how much money to save, what makes up healthy monthly, household, expenditures, how much to spend on Christmas gifts, how many lessons or after school activates the kids truly need, etc.  Simply put, your money goals need to have alignment.

3.  Process.  Do you and your wife have a plan in place for who is in charge of investments, monthly bills, home maintenance, etc.?  You can't reach any personal finance goals unless you have a plan in place with dates and who is in charge of getting things done.  In some ways, a marriage needs to be run like a corporation (sorry to all you romantic types!) and you can't have one employee doing all the work while the guy in Accounting sits on his butt all day.

4.  Have Fun and Make Sure Your Love Evolves.  It's always a good idea to invest in your love.  This means going out and doing special things on occasion or treating your spouse to a gift or a dozen roses.  Being cheap with your husband or wife is not a good move.  If your budget allows for a yearly vacation, maybe without the kids, then go and have fun (your marriage and life will be revitalized when you return).

5.  Independence.  I know some couples who are tied to the hip both in terms of finances and friends/social activities/etc. and this is not good.  I believe that married couples need to preserve some individuality, including attending events with close friends or just going out for a drink with a college buddy on occasion (it's ok to have some differences in your social lives).  On the money side, it's also important for both partners to have their own spending money (just as long as one partner is not abusing the privilege by making purchases from the web each night, for example.).  

Lynnae at BeingFrugal.net posted on 12 steps to a prosperous New Year. Via BeingFrugal.net

4 Things we are duped into thinking we need.  Via BluePrint For Financial Prosperity.

Arguments for paying off your mortgage early.  Via The Greenest Dollar

Paul from CrackerJack Greenback has a series on how to deal with being laid off.  Via CrackerJackGreenBack

36 ways to earn extra money.  Via FiveCentNickel

Reasons why young people fail in college. Via Studenomics.

I came across some old philosophy books in my study this morning and it got me thinking about the value of an undergraduate degree in philosophy.  And I can already hear the jokes, so please keep them to yourself!  ; - )  At first glance, a Bachelor of Arts degree in philosophy provides no real practical application in the real world.  After all, you will not receive any specific training that can lead to a job, are required to read esoteric texts, and will never arrive at a "right answer" during a final exam or short quiz.  So, why on earth are US colleges and universities struggling to keep up with the demand from students wanting to both take courses and major in philosophy?

As an ex-Philosophy major, I can tell you that my degree is invaluable and I would certainly study the same subject if I had to start all over again (I would maybe throw in a degree in Economics as well).  If we cut to the chase, a degree in philosophy provides the following benefits

1. How to read critically (i.e., a book, magazine article, newspaper, P&L statement, web traffic report, etc.).
 
2. How to write well. (this could be an email, letter, report, blog, or living will).

3. How to debate and speak in front of large audiences.

4. How to create impromptu arguments and analysis (this may be the number one business skill of all time and I'd hire someone with this skill set versus a Harvard graduate any day).

5. How to figure out what is right and wrong (ethics) and identify with different sorts of people and cultures (this is critical in the modern workforce, think how different your job is from what you see on Mad Men each week).

6. How to apply logic to any problem.

7. How to think strategically or see the "big picture."

8. How to think about a problem by deconstructing the big picture and looking at the details.

I could go on and on, but I think you get the picture.  A degree in philosophy is not a degree in electrical engineering; that is to say, the degree will not train you specifically to go out into the world and be an electrical engineer but it will equip you to do really well in the workforce by adapting to any work situation. 

Philosophy also provides excellent training for a professional degree.  Considering the benefits I stated above, philosophy majors score in the very top percentiles on the GRE, LSAT, and GMAT exams. "For example, in a recent GRE study, philosophy majors were ranked among the very top majors in their mean scores on the verbal, analytic, and quantitative components of the exam; in a recent LSAT study, philosophy majors had a higher mean score than even pre-law majors; and for recent GMAT tests, the mean score for philosophy majors exceeded that of any type of business major. Virtually no other major does this well on such a wide cross-section of standardized exams.(quote from the University of New Hampshire Philosophy Department web site http://www.unh.edu/philosophy/index.cfm?id=39F7EBE2-C029-7E5B-F1371DFC37778362)."

Did you study philosophy, let everyone know about your experience by commenting above.

I'm often asked what my favorite meals or recipes are and folks are shocked or confused when I say something like sautéed escarole or baked broccoli or that I treasure a ripe organic pear over a well marbled sirloin steak.  However, it's true, I like my food simple and fresh (preferring fish over red meat, raw nuts over processed snacks and chips, and sautéed green vegetables over friend potatoes). 

My favorite vegetable dish is sautéed escarole.  Escarole is a type of endive with very broad leaves, but without the bitter taste.  Escarole is incredibly hearty and stores well in your refrigerator crisper drawer.  Escarole is high in fiber, vitamin K and A, and folic acid.  It's also very difficult to overcook escarole; here's a time tested recipe, but first the ingredients:

- One head of escarole
- Salt and pepper to taste
- 3-4 tablespoons of olive oil
- 4-5 cloves of garlic
- 1 tablespoon of dry red pepper flakes (optional)

The best method for preparing escarole includes a light boil and then sauté.  Begin by cutting the bottom ½ inch of the escarole (removing the stem) so all of the individual leaves are exposed.  Next wash the leaves in a large bowl with water.  NOTE: You'll need to submerge and drain the leaves no less than 3X in order to remove all of the excess dirt and grit.  After you've thoroughly cleaned your escarole you can move the greens to a 6 quart sauté pan with about a ¼ of inch of water.  Place the lid on the pan and gently steam the leaves for about 5-10 minutes (the leaves will dramatically reduce in volume).  After the leaves have wilted, remove the excess liquid and add salt and pepper to taste as well as 3-4 tablespoons of olive oil.  Toss the ingredients well and add your thinly sliced garlic (you can the red pepper flakes at this point as well).  Finally, sauté the mixture for 8-10 minutes and serve in a medium sized bowl.  I like roast chicken and a nice glass of Aglianico with sautéed escarole. 

According to an Indiana Business Review article, individuals in the US between the ages of 25-54 spend an average of $2833.00 each year on eating out (this is according to 2004 data).  While the number is not surprising, it did get me thinking about personal finance and daily eating habits. 

Given the current economy, many personal finance blogs and magazines are offering advice on money saving products, deals, coupons, investment strategies, etc., but I've yet to see a piece on the importance of NOT eating out often.  Don't get me wrong, I'd love to eat at a fine restaurant each and every night (provided I could find some healthy dishes on occasion!), but I don't do it because:

1. Eating out is a colossal waste of money (most food and beverage items have a huge markup).

2. Eating out is not healthy (you don't have direct control over ingredients and the amount of fat, salt, etc. used in the cooking process).

3. Eating out, often, leads to a reduction in the quality of ingredients used/consumed (unless you're eating at a four star Michelin restaurant each night).

4. Eating out is a waste of time (think about the process: figuring out where to go, figuring out how to get there, waiting for your food, leaving a tip/paying, getting back to your home/apartment, etc.).

5. Eating out is lazy (going to a restaurant other than for a special event breeds the type of behavior that is all about immediate satisfaction).

6. Eating out can rob you of personal time with family and/or spouse (think about the teamwork needed to prepare a nice meal - it's the kind of behavior that makes families and couples bond).

7. Eating out does not allow me to build leftovers into my weekly food planning process (read: do not buy lunch at work!).

Many people make statements like, "I don't know how to cook" or that "cooking is hard"  in response to eating out often, but cooking quality meals is NOT hard (see my getting started to cooking at home guide here) and after you've been doing it for a while you can get really efficient at putting together healthy and great tasting meals (including food for lunch at work the next day).  Also related, see my essential kitchen tools guide here as well as a guide on buying fruit, vegetables, and fish here

Over the last couple of months I've been posting simple and tasty recipes and I thought now would be a good time to summarize the entries given the financial crunch.  So, try and avoid making reservations and opt to make a few of the dishes below (they're really not hard to prepare and you'll be happy you didn't go out after your belly is full!):

1. Perfect Omelet
2. Oven Baked BBQ Ribs with Dry Rub
3. Black Bean and White Corn Salad
4. Pasta with garlic, olive oil, and parsley
5. Perfect Grilled Chicken Sandwich
6. Tomato Salad
7. Roasted Pork Tenderloin
8. Fava Bean Gazpacho 
9. Eggplant Parmigiana
10. Scallops with Pan Simmered Tomatoes
11. Roasted Peppers
12. Chicken Thighs and Mint
13. Classic Salad Dressing
14. Baked Flounder with Fennel Salad
15. Couscous with Feta and Tomatoes
16. Lamb and Beef Kufta Kebab
17. Braised Short Ribs in Red Wine
18. Lentil Soup
19, Onion and Potato Fritatta
20. Oven Roasted Vegetables

Finally, if you're looking for food items you can consume often, I have a quick series on "foods I live on" http://www.scordo.com/blog/2008/10/foods-i-live-on-part-3-de-cecc.html  Looking for a nice bottle of wine, here's my guide on buying wine!

I like using our oven as often as possible during the winter months because not only do roasted vegetables, meats, etc. taste great but your oven adds a little bit of heat to your kitchen.

One oven recipe I turn to often is roasted winter vegetables.  Here is what you'll need:

-    1 large red onion
-    2 medium sized sweet potatoes
-    1 medium sized potato
-    Half a head of garlic
-    1 large carrot
-    1 ten ounce package of baby bella mushrooms
-    Salt and pepper
-    Olive oil
-    Fresh parsley

Recently, our extended family has been going through a difficult period caring for my 89 year old grandfather (Nonno Vincenzo).  Nonno Vincenzo has been housebound for the last year suffering from dementia, et. al.  I was named after Nonno Vincenzo and we share many of the same traits (including being calm most of the time with the occasional loss of temper).

Nonno's physical decline got me thinking about how personal identity is shaped by family and whether it's a good thing?  For example, in most large cities in the Western world, people cherish the ability to create their own identity and the personal freedom that comes along with such a choice.  In Ancient Greece, however, a newborn male became a citizen only after being acknowledge as a member of a particular family.  The newborn was also, in most cases, named after the paternal grandfather.   So, in many ways, identity in Ancient Greek culture was shaped by the family the individual was born into.

Family, as I've said in other posts, is critical if you're interested in money matters and living a frugal life.  The way I see it, an extended family can help with:

1. Raising and caring for children (this has been the model for thousands of years and it's only in Western countries where we've moved away from this idea).

2. Managing a home (including home repairs and maintenance).  This is especially true if you live in an older home and have family members who are handy.

3. Maintaining a social life.  OK, hanging out with your 90 year old grandfather on a Friday night may not be that much fun, but the occasional dinner and party with family is really nice.  I try to have dinner my parents once a week and I like having family over for a coffee and light snacks every month or so.

4. General advice.  Think of Uncle Frank and Aunt Maria as pro bono attorneys and psychotherapists who can offer advice on tough life decisions.  Making a decision in a vacuum is not good and I like to shop ideas and possible solutions around with family before acting on an item, so I think this tip is particularly important.

Let me know what you think in terms of family, identity, and how you've managed to stay close to your extended family.

An investing 101 entry that describes index funds, ETF's, etc.  Via Get Rich Slowly

How do children affect financial goals and priorities?  Most folks don't think of this issue until after they have children (then it's too late). Via Get Rich Slowly

A pros and cons of credit card use debate; to me, the answer is obvious, but don't take my word for it.  Via Frugal Dad

Everyone should learn how to love books and reading, but it can be an expensive hobby if you buy books new.  Learn how to not buy books.  Via DumbLittleMan

Green Living 101 - great tips!   Via The Greenest Dollar.

The debate about what you want given what you have (or are you a capitalist when you are rich and a socialist when you are poor).  Via the Toa of Making Money.

Finally, while totally off-topic, TwitterVision is intoxicating - warning this could get you dizzy.  Via a person on Twitter I can't remember.

One of the most important life skills you can teach your child is how to save or, more specifically, why it's important to save.   My parents would often bring me to the bank as a small child and I observed my mother writing and cashing checks, depositing money, etc.  By the time I was 7 or 8 my parents told me about a little blue passbook they had opened for me when I was born.  The passbook (or savings account) contained some regular deposits and a healthy amount of money.  I had no sense of the value of the account or what the cash really represented, but I do remember my parents telling me:

- This is where you will (not can) save any money you should come across (birthday, holiday, etc.).

- Once you put money into the little blue book you really do not want to take it out (unless you need something).

- The bank will give you some money in return for keeping a little blue book full of money.

Along with making our own wine, my family also cans fresh plum tomatoes every August.  The canned tomatoes are used mostly for making tomatoe sauce.  Canning your tomatoes produces a better tasting tomato sauce and, of course, saves you money over the long term (especially after you've owned the canning equipment for several years).  

Tomato canning should be done outdoors and with a large group (you'll want to set up stations to work efficiently).  Pasta with tomato sauce is probably one of the most popular dishes made at home in the US, so you'll definitel