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Stock markets are often uncorrelated with their country's GDP growth / decline.
by cko 2y ago
Stock markets are often uncorrelated with their country's GDP growth / decline.
- dilawar 2y agoThis explains many confusing things about Indian markets. Is there a place/book you recommend I can learn about it a bit more?
- cko 2y agoThere's papers that I haven't read or analyzed but I just trust the summary. https://rpc.cfainstitute.org/en/research/cfa-digest/2015/10/whats-growth-got-to-do-with-it-equity-returns-and-economic-growth-digest-summary https://rpc.cfainstitute.org/en/research/cfa-digest/2015/10/... I also listen to some trustworthy YouTubers like Plain Bagel and Ben Felix.
- kombookcha 2y agoThis reminds me of a lovely joke about two economists on a desert island creating an economic miracle of GDP-per-capita growth by repeatedly paying eachother to eat sand.