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To: JF Quinnelly who wrote (7109)7/23/1999 10:28:00 PM
From: Justa Werkenstiff  Read Replies (1) | Respond to of 15132
 
JFQ: RE: "I don't think he's talking about stock prices in this section, the 'general price level' usually means the inflation rate, and 'economic expansion' would be GDP growth of the real economy."

Yes, you are correct but the same principle would apply to the stock market IMO and I think Greenspan would agree especially as he seems to give great weight to the wealth effect.