Booms, Busts, and Recoveries Message Board

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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Maurice Winn who wrote (14582)	2/6/2002 10:48:17 PM
From: LLCF	Read Replies (1) of 74559

<How much do you think that 12.8% would be due to discounts due to recession and the effort by suppliers to maintain sales and how much of it would represent actual unit sales decline in litres, kilograms, teraflops, square metres, cars etc?> Why does this matter... if companies blow out stuff and not making money, they still fire people and cut back [you don't discount stuff if you think you can sell it for more]. How is this tantamount to disagreeing with the point? <The other point I disagree with is that Uncle Al's monetary policy caused the internet boom and bust. But we won't persuade each other on that.> Well, you disagree with Greenspan himself then... that's why he raised rates. Of course ALL economics [social science, remember?] is through the behaviour mechanism of peoples actions... ie. of course people bid up the stocks, Greenspan didn't. DAK

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