Skewering of Leftist Economic "Conventional Wisdom"

[Chicks]

Muted returns for stocks expected over next decade. In line with Krugman’s predictions, from someone who can hardly be called a “lefty”, lol. The party’s ending, time to switch to a boring 60/40 portfolio.

https://www.bloomberg.com/news/artic...ter-long-rally

[whell]

Originally Posted by Chicks

Muted returns for stocks expected over next decade. In line with Krugman’s predictions, from someone who can hardly be called a “lefty”, lol. The party’s ending, time to switch to a boring 60/40 portfolio.

https://www.bloomberg.com/news/artic...ter-long-rally

You do what you think is best for you. If you're closer to retirement than other folks, or a lower personal risk tolerance, then yeah, a 60/40 or even a 50/50 portfolio might make more sense. If you've got a longer time horizon to retirement, or a higher risk tolerance, a 60/40 portfolio makes no sense.

As to the long term outlook for stocks, yeah, the predictions for less stratospheric returns than what happened in 2017 and early 2018 makes sense. Last year and this year, if plotted on a growth chart that starts in 2000 and rolls out to 2050, will probably look like bumps on an upward bending curve. There may also be some dips, and I wouldn't be surprised if there was a pull back later this year or next. According to this article in Morningstar:

With stocks posting another stellar year last year--and with valuations that could hardly be described as cheap--most serious experts are even more circumspect in their long-range return expectations today.

True, economic fundamentals are fine: The economy is solid, unemployment remains low, and corporate earnings growth has been robust. But much of that good news is arguably already priced into stocks' valuations today.

So, no, "the party" isn't over, but it might be winding down to something that looks more like a the usual backyard barbecue and less like a New Year's Eve bash in Times Square. Therefore, there's no need to abandon a long term strategy or over-react to what some think might/might not be happening over the next several years.

[Chicks]

Listened to about 5 minutes of Limblow on this morning’s commute. He flat out lied, saying that CNN and MSNBC made “no mention” of Apple’s announcement on jobs and taxes. He lies about as much as Donny, and shares the same idiot base.

Yesterday’s article from CNN:

http://money.cnn.com/2018/01/17/tech...omy/index.html

[whell]

Originally Posted by Chicks

Listened to about 5 minutes of Limblow on this morning’s commute. He flat out lied, saying that CNN and MSNBC made “no mention” of Apple’s announcement on jobs and taxes. He lies about as much as Donny, and shares the same idiot base.

Yesterday’s article from CNN:

http://money.cnn.com/2018/01/17/tech...omy/index.html

Yeah, I heard the same thing. I believe he was referring to the on-air portion of CNN/MSNBC's programming, not the web portion.

[Chicks]

Originally Posted by whell

Yeah, I heard the same thing. I believe he was referring to the on-air portion of CNN/MSNBC's programming, not the web portion.

So you’re a Trump apologist AND a Limblow apologist. You actually believe every one of their thousands of lies as the truth, don’t you?

[finnbow]

Originally Posted by whell

Yeah, I heard the same thing. I believe he was referring to the on-air portion of CNN/MSNBC's programming, not the web portion.

It was reported all over the MSM. This is just the same old schtick from Limbaugh (and other conservative blowhards), claiming that something that could be perceived as favorable to conservatives does not get reported on the MSM, even when it is widely reported (and is often the actual source for the news they claim that isn't being covered). It succeeds because his listeners don't listen to or read the MSM because they're afraid of being confronted with facts that don't conform to their worldview (i.e., "fake news").

[finnbow]

“Despite a handful of high-profile announcements, the recent cuts in corporate taxes haven’t yet had a meaningful impact on American companies’ plans to boost investment or raise workers’ pay, a CNBC survey of large companies found. … Only 9 companies in the S&P 100 contacted by CNBC said they have specific plans to use some of the money saved from the corporate tax cuts to boost worker pay or invest in facilities or charitable causes.”

https://www.washingtonpost.com/blogs...ny-bonus-ploy/

[whell]

Originally Posted by finnbow

“Despite a handful of high-profile announcements, the recent cuts in corporate taxes haven’t yet had a meaningful impact on American companies’ plans to boost investment or raise workers’ pay, a CNBC survey of large companies found. … Only 9 companies in the S&P 100 contacted by CNBC said they have specific plans to use some of the money saved from the corporate tax cuts to boost worker pay or invest in facilities or charitable causes.”

https://www.washingtonpost.com/blogs...ny-bonus-ploy/

It hadn't even been a month yet. Sheesh. Also, the only companies that have to make announcements are those that are publicly traded.

[Chicks]

https://finance.yahoo.com/news/tax-c...185047405.html

Analysts at RBC Capital Markets said Thursday that this tax indicates Apple will bring back $207 billion after taxes and said they believe ”almost all of it” will be used to reward shareholders through share buybacks or dividends.

Of course.

[whell]

Originally Posted by Chicks

https://finance.yahoo.com/news/tax-c...185047405.html

Analysts at RBC Capital Markets said Thursday that this tax indicates Apple will bring back $207 billion after taxes and said they believe ”almost all of it” will be used to reward shareholders through share buybacks or dividends.

Of course.

And that's "bad" because...?