The fairly well known book by Jeremy Siegel, "Stocks for the long run" presented the wealth effects of buying stocks vs. bonds. The basic idea - stocks outperform bonds in the long run.
Bloomberg.com has an article showing that since the Carter years, this hasn't quite held up if you count recent market movements.
Clearly, this graph is dependent upon the stock index used and also the starting point, which is a little arbitrary.
A Finance Professor's blog. I am a Professor of Finance in the Poole College of Management at NC State University. My website: https://sites.google.com/ncsu.edu/warr Opinions are my own.
Subscribe to:
Post Comments (Atom)
What's going on with inflation?
I recently posted an article on the Poole College Thought Leadership page titled: " What's going on with inflation?" . This w...
-
A recent paper by some computer science folks at Indiana finds that the mood on twitter can predict movements in the Dow Jones Industrial A...
-
I recently posted an article on the Poole College Thought Leadership page titled: " What's going on with inflation?" . This w...
-
Another inflation illusion post. This time with math. Again the issue here is that you can't just increase the discount rate when you a...
No comments:
Post a Comment