thegreatcrash.com press release

Jordan Hayes jmhayes at j-o-r-d-a-n.com
Tue Jan 4 19:36:35 PST 2000


Doug Henwood writes:


> > and b) there's a great
> >disincentive to give heaping gobs of cash to mutual fund managers
> >whose job it is to buy stocks.
>
> Yeah, people change their minds though.

Sure. And when it happens, you might see some reversal. But does it have to be a "crash" ...? And does it have to happen sooner rather than later? And does that necessarily make it a bubble?


> > > Is it different now?
> >
> >I think we're in a supply/demand situation that we've never
> >seen before, yes.
>
> Why?

Why have we never seen it before? Dunno.

Who says we can't see new things?


> Has the fundamental dynamic of capitalism been altered?
> Why should valuation and sentiment readings and all those traditional
> measures now be invalid? What's changed?

Maybe they never were valid? Maybe the impact of supply/demand that we're seeing was never figured into 'traditional measures' ...?

If the former impact was "near zero" then leaving it out wouldn't change the analysis ...

/jordan



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