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Inflation adjusted graph here seems to suggest that the stock market isn't really higher than since 2008: https://inflationdata.com/Inflation/Inflation_Adjusted
by chrischen 8y ago
Inflation adjusted graph here seems to suggest that the stock market isn't really higher than since 2008:
https://inflationdata.com/Inflation/Inflation_Adjusted_Stock_Price/NYSE_Inflation_adjusted_stock_price.asp https://inflationdata.com/Inflation/Inflation_Adjusted_Stock...
- dagoat 8y agoFollowing the link: I find it odd that his google plus pic is of him wearing a tux, with what looks to be a pile of money on fire above him.
- sdinsn 8y agoThat's for the index, it doesn't count dividends. The majority of gains from holding a S&P500 fund over a long period are from dividends compounding.
- throwaway9d0291 8y agoA substantial part of the difference he's pointing out just comes from using the NYA index instead of the S&P 500. Between the 2007 peak and the end of 2017 when he published this, his NYSE index gained only 20% (https://goo.gl/bWuBvQ https://goo.gl/bWuBvQ), while the S&P 500 index, which is what people actually use and invest in (http://etfdb.com/compare/market-cap/ http://etfdb.com/compare/market-cap/), is up more like 70% (https://goo.gl/pFZW9X https://goo.gl/pFZW9X). Inflation may have had an impact on his specially chosen index but the index most people use to invest is certainly worth a lot more than it was in 2008.