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Technology Stocks : Softbank Group Corp
SFTBY 76.93-5.1%3:59 PM EST

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To: TobagoJack who wrote (3310)1/16/2000 12:52:00 PM
From: kai_kai  Read Replies (2) of 6018
 
a clipping from ol' Ed:

From: econews@yardeni.com
yardeni@yardeni.com

"COMMENT: Everything old is new again. The New and the Old Economies are merging. The forward-thinking managements of AOL and Charles Schwab looked into the future and saw more opportunities in expanding their operations on the Planet Earth than in cyberspace. Both recognized that their highly
valued stocks could be used as currency to purchase relatively cheap companies in the Old Economy. While the AOL Time Warner proposed merger was immediately heralded as a watershed event, I think even more significant was last year's announcement by GM and Ford that they are moving more quickly to implement e-commerce strategies. I believe that the adoption and implementation of new technologies by Old Economy companies will have a far more immediate, as well as long-lasting impact on our overall economy. Here are my five themes for this year and the decade ahead:

1) The bull market should broaden as Old Economy companies morph into the New Economy, and as valuations of the two converge.
2) Real GDP has the potential to grow at a 4% per year trend rate, a full percentage point higher than in the past.
3) The secular rebound in productivity should continue with average annual growth of 2.5%, up from 1.8% during the 1990s.
4) Inflation should fall closer to zero. Some deflation is possible as the Internet increases competition.
5) The above apply not only to the US, but also to all competitive economies around the world."
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