http://www.progressive-economics.ca/2008/08/19/stock-markets-real-economy/
----------- However, what strikes me about the accompanying table is not that economic growth and stock-market performance are unrelated, but that they appear to be inversely related. During bull-markets years, when the S&P 500 averaged 15.2%, Gross Domestic Product (GDP) averaged 6.4% in nominal terms and 3.9% in real terms. During range-bound years, when the S&P 500 averaged only 7.3%, GDP averaged 9.4% in nominal terms and 4.0% in real terms.
Of course, correlation does not necessarily prove causation. At a minimum, though, these figures provide another piece of evidence supporting the thesis of Jim Stanford’s classic Paper Boom. ----------- http://www.progressive-economics.ca/2008/08/19/stock-markets-real-economy/
FC