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nvm, just got to the "Criticisms of The Buffett Indicator" section where they cover just this topic :)
by mmmmkay 5y ago
nvm, just got to the "Criticisms of The Buffett Indicator" section where they cover just this topic :)
- danielmarkbruce 5y agoThey don't cover the % of revenue derived from overseas. Ie the GDP of the US is less meaningful over time for the S&P 500. It really should show total market cap / GDP of relevant jurisdictions weighted.
- plater 5y agoI don't think you are wrong, but then some of the US GDP belongs to other countries so there are also some deductions to do.
- danielmarkbruce 5y agoYup, I guess the MSCI 1500 (or similar) / global GDP is probably easiest.