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The only ones that matter are the ones that occur after roughly 1995. Most people weren't in mutual funds or stocks the way they are today. When the stock marke
by pfarnsworth 9y ago
The only ones that matter are the ones that occur after roughly 1995. Most people weren't in mutual funds or stocks the way they are today. When the stock market dropped 50% in 2008/2009, so many people in retirement age were ruined because their retirement money was in the markets. A greater number of people's financial health is based on the stock market in 2018 than it ever did in the 1930s or 40s. In 1987, when the markets crashed 25%, it was interesting and scary, but if that happens today, millions of Americans need to push back their retirement by a dozen years. It's much more meaningful today because so many more people are affected by it.
One of the great feats of social engineering that Wall Street has done in the several decades is convincing regular people that they should have their money in the stock market. That lets them make billions of dollars "taking care of" their money without any personal risk themselves.
- kaycebasques 9y ago> When the stock market dropped 50% in 2008/2009, so many people in retirement age were ruined because their retirement money was in the markets. Interesting perspective on why central bankers have seemed so complacent about high stock valuations. I've also heard commentaries that the wealth effect was one of the tactics used to drag the US out of the Great Recession. https://en.wikipedia.org/wiki/Wealth_effect https://en.wikipedia.org/wiki/Wealth_effect
- 111_1_111 9y agoOut of curiousity, where do you think people should put their money if not the stock market?
- gaius 9y agoOne of the great feats of social engineering that Wall Street has done in the several decades is convincing regular people that they should have their money in the stock market. Ironically you could call this “owning the means of production”
- draw_down 9y agoNope.
- losvedir 9y agoToo true! I sometimes wonder why the marxist/socialist types aren't pushing for some sort of government fund that owns a percentage of all listed stocks. That's essentially what they want, right? All the pieces are in place to easily and relatively painlessly do this. I mean I kind of like it as the basis for a basic income. The basic income can start small, but as the economy grows, even if that includes via robots and automation, the basic income will grow as well.