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Old April 3, 2001, 09:35 PM
Dien Rice
 
Posts: n/a
Default How to predict booms and recessions....

Here's a graph which explains WHY we're having the current stock market correction, from The Great Boom Ahead (p. 40)....

(Sorry for the poor quality, I had to try to take a photo since my scanner got stolen.... But that's a different story....)



The heading says, "The Spending Wave Extended - The 49-Year Economic Forecast".

I hope you can read the numbers at the bottom.... These are the decades, from 1920 on the far left, to 2040 on the far right.... (We'll just look at the area around the year 2000.)

The line graph is the US stock market index....

The bar graph is the record of births, shifted by 49 years.

Do you notice how close these two graphs follow each other (when they are scaled appropriately)?

It's not exact, but it's pretty close....

Surely it can't be a coincidence...!

You can use this to predict approximately when recessions and "boom" times will occur!

If you look around the year 2000, you'll see a "dip" in the birth rate graph....

THAT'S the source of the current recession we're in....

However, if you look a bit further ahead, you'll notice the "boom" begins again, and goes until around 2010....

After 2010, it looks like bad news for the economy....

I just wanted to share with you this IMPORTANT tool.... Don't underestimate how valuable this kind of information is....

- Dien