RSAAKS

The Declining Usefulness of Debt

we may still be producing return on debt, a larger portion is being eaten away by increased regulations, leading to lower net

Relax, Obama's Socialist Agenda Is Capital Friendly

When people talk of our current "capitalist syatem", frankly I am not sure what they mean. The fact that we pay taxes in disproportionate amounts to the benefits we all receive from our taxes, high tax payers (aka high wage earners) already subsidize low tax payers to some extent. Hence we already are socialists to some extent. What is likely happening now---the degree of socialism is increasing--a notch higher? or a lot higher? that is the real issue. And Yes, we are are socialists already, believe it or not.

The Stock Market Continues to Heal

some have suggested to put away the charts and go talk to some real people. Unfortunately, the real people have almost always been wrong at the tops as well as the bottoms. Charts tell us what people are doing, not what they are saying. Now does the chart assure we have a bottom? of course NOT. But a bottom on the charts will appear long before any real people think we have reached that bottom.

Reversion to the Mean for Equities

Before we go too far with this mean theory, I would think if this theory applies to NYSE, it should apply to the GDP vs equity value for many other economies, at least those who have had equity trading for some time. Doe this apply anywhere else, or is the US so special? What about Japan, UK?? Secondly, why is NYSE equity value the only part being considered, when many of the very meaningful companies in the US [e.g. MSFT, CSCO, ORCL, INTC, EBAY, AMZN to name a few] don't even add up in NYSE value? Does that make this new economy different from that in 1929 or 1965?

Tradermark's 13 Outlier Predictions for 2009

Difficult to find any holes in your arguments!! Though I hope things are not as bad. Seems US economy is becoming more and more like some third world economies--big deficilts-high inflataion-high unemployment-and lagging wage growth. I would add one prediction, there should be many strikes by workers for wage increases, like the teachers, govt workers leading the way.

Deflation Is Just Around the Corner

Deflation!!!! With the exception of price at the gas pump, can someone tell me which prices are lower? At least where I live, groceries are still costing more than last years, so are my utilities, so are the services like the doctor fees-auto repair-insurence, car prices are still holding the same as lastt year, tuition is not any cheaper, interest rates charged by banks are not much lower, so where is the deflation??
Oh, the stock prices are down, way down, that must be the deflation everyone is worried about!!

Survival of the Longest

The market is not going down because of herd mentality of the baby boomers, It is the herd mentality of hedge funds and mutual funds that is causing this melt down. Unless the hedge funds are regulated like mutual funds, and there is some transparency of what the hedge funds are doing, this market is not coming back/ Individuals will surely be out at some point, whether now or in a year, if down turn persists. Going forward, funds will simply be selling to each other and will have very little individual participation directly or via funds.