The stock market "correction" was predicted 8 years ago.... Here's the proof....

Hi Michael!

> That's truly fascinating. And it also makes
> perfect sense.

I'm glad you like it.... It's fascinating stuff....

What I find funny (in a way) is that all these commentators in the media who talk about the recession (or the boom we had before) don't know this stuff.... They don't realize that these movements of the economy have essentially been determined 49 years ago....

But like you said, it DOES make sense.... There's a rationality to it...

And one of the nice things about looking at a book published in 1993, is we can look back and see, over the last 8 years, how right or wrong he got it....

Harry S. Dent's record is pretty good. The guts of what he's said, I've found, has pretty much always been right, where he's been "wrong" is he makes guesses regarding the timing, yet that's not always right.... He can sometimes get his timing wrong by a year or two, so you should take these predictions within that kind of accuracy (with a possible error of plus or minus a couple years)....

> A large surge in births would see the market
> for baby goods take off. Then as those
> babies got older their interests would make
> other markets take off while the markets
> they'd just been in would decline.

> And then when all those babies die...

Yes, that's the essence of it.... It's a simple idea, yet surprisingly powerful.... :)

> So according to this research, the decline
> we're in will be pretty sharp, come to a
> sudden stop, level out for a while and then
> go back up. Is that right?

Yes, on the basis of this, I expect the current stock market slump to pick up and become a boom again, probably next year some time....

> Anyway. Talking about predicting trends. The
> other week there was an article in the
> Sydney Morning Herald (
> http://www.smh.com.au ) about the increase
> in knee and hip replacement surgery. (I'd
> find the article in the archives for you but
> going through the last month day by day
> looking for it again is too time consuming)

> This makes sense what with the boomers
> hitting that age group and still wanting to
> enjoy life. And this follows the stay-young
> thing the article you linked to recently, as
> well.

> So do you think having shares in companies
> which provide replacement hips and knees
> would be a good thing?

Yes, I would...

As I've mentioned before, I personally tend to invest in pharmaceutical and medical technology companies, and combine that with a "Warren Buffett"-style investment approach....

The reason I like these health-related stocks is demographics....

To invest now, I'd be thinking about what kinds of things will baby boomers and their children be wanting to buy over the next 10 years or so? And I'd probably tend to focus on those companies....

- Dien