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More Growth = Good Less Growth = Bad
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Originally posted by Hank Chinaski
like most of you, I am not economically educated. However, I would rather not repost crap that I've read somewhere else as my own thoughts (hi Ty!).
But, honest question, isn't the stock market going through the roof proof that something good has happened?
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If you accept the statistically sampling involved -- perhaps likelier if you're inclined to accept the Lancet estimate of 600K dead in Iraq? -- then it suggests that good things have happened to stock prices, assuming that the delta in stock prices is meaningful if you control for inflation, etc. This might mean that good things haven't happened yet, but are so expected that stocks are trading on the basis of these expectations. Whether you think it means something wonderful about the state of the world or the country depends on whether you think stock prices are a good barometer of such things. If, e.g., stock prices are up because corporations are receiving the lion's share of productivity gains that used to be split between companies and workers, then maybe it doesn't suggest that everyone ought to be joyous.
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“It was fortunate that so few men acted according to moral principle, because it was so easy to get principles wrong, and a determined person acting on mistaken principles could really do some damage." - Larissa MacFarquhar
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