SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : American Presidential Politics and foreign affairs
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Peter Dierks who wrote (45351)8/30/2010 12:36:09 PM
From: TimF1 Recommendation  Read Replies (1) of 71588
 
Chart of the Day: The Less Government, The Better

Here’s a great chart from Mark Perry at Carpe Diem, using data compiled by Eric Singer. The graph shows inflation-adjusted returns from the S&P 500 from 1973 to 2010, categorized into: (a) years during which the government was “gridlocked” (i.e., when “the President and at least one chamber of Congress are from different political parties”); and (b) years during which the government was unified.

(follow post link below for chart, the site replaces inline hotlinks with another image)

The results: a gridlocked government produced a 15.3% gain; a unified government produced a 9.9% loss. Also note: unified Republican governments resulted in a 7.7% loss, compared to 11.5% loss for Democrat unified government.

According to Singer:

The reason for this difference is simple: Unified governments spend far more, and more quickly, and expand regulation much more than split governments do. Programs sail through, the dollar is jeopardized, and investors seek real assets like gold to counteract the political risks of an activist government.

This data strongly suggests that the government that governs least governs best.

jeffreyellis.org
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News