The idea definitely makes sense, but what is the use of this graph? It only shows past returns based on information we already know. Far more interesting is the

The idea definitely makes sense, but what is the use of this graph? It only shows past returns based on information we already know. Far more interesting is the realization, which is not news for people who observe these things, that prices cannot go down until there is a crunch on the money supply. After all, the allocation of stocks usually remains constant or goes up when prices are going up, so only money supply can change the dynamic of price escalation. The same happens on the way down, because prices are decreasing, the allocation naturally reduces, even if investors want to keep it constant. Only new money supply can reverse the trend of equity price declines.