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Re: Tenchu post# 77209

Sunday, 03/08/2009 5:15:26 PM

Sunday, March 08, 2009 5:15:26 PM

Post# of 152247
>> What do you think is going to convince investors and speculators to put money back in the stock market?

earnings of companies will increase strongly from the recession low of this year. Stock prices of surviving, profitable companies will be bid up along with earnings.

>> Finding a bottom in this recession? We're already creating one thanks to policy,

Ascribing this recession to current gov policy of increasing demand (through gov spending) makes no sense. The recession started 15 months ago. The current spending will keep it from getting deeper.

>> But the unintended consequences of said policy are a b!tch, and it's going to come around to bite us in the butt.

An assertion with no accompanying explanation or support. What mechanism will bring the economy from its current state to this unpleasant (though undefined) state ?
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