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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Les H who wrote (43695)	9/28/1999 9:51:00 PM
From: Haim R. Branisteanu	Respond to of 94695

Les all those rosy predictions are very nice on the surface but if they will account for software as an investments all those corporations will end up with huge tax bills from the IRS, and bingo we also have a budget surplus <GG> Most hardly hit will be small businesses as they can not borrow to pay taxes. Now how will you compile that with present P/E ratios. The whole concept is based on the "I did not inhale and I never had sex with that woman" <GG> I almost forgot in the "NEW ERA" you can have the cake and also eat it. As the leader so the followers. BWDIK Haim

To: Les H who wrote (43695)	9/29/1999 1:02:00 AM
From: Skeet Shipman	Respond to of 94695

Les, The Old Debt Savings Picture: clev.frb.org Changes in the computation of income and savings are needed. The changes described at the US Commerce site were mainly in restricted retirement savings and insurance plans. This points out the necessity to separate liquid unrestricted unencumbered savings from restricted savings. It also raises questions about the use of restricted savings in lending institution policies. It is far too early to even imply there may be a problem. However, personal knowledge of individual cases raises in my mind serious questions whether lending institutions have stretched policies to make loans and credit available. It could be nothing or an economic time bomb awaiting either rising interest rates, a slow down, or a stock market decline. As for now it is just a bunch of questions. I think I'll contact the US Commerce Dept. to get a better understanding of this. I believe similar concerns were raised 3 years ago, and the situation has only gotten worse. Here are links to a Federal Reserve essay on debt and savings. clev.frb.org The chart on debt and savings implies from where the recent years of spending increases have been coming. clev.frb.org This is old news; but it does explain why the G7 central bankers were so concerned about our savings. US Commerce site: bea.doc.gov Skeet