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To: George Dawson who wrote (635)	3/28/2000 7:59:00 AM
From: Arik T.G.	Respond to of 686

>>I don't know if anyone is still monitoring this thread Shhh... Economic remarks on the stock market went underground long time ago. >>I am interested in finding out if there are any economic models for a viable economy that do not include increased spending by consumers. Japan. Re: B-B reducing overhead Technological improvements increase the efficiency of production and commerce all the time - since the invention of irrigation and the wheel. Steamships replaced sailboats, printing press replaced hand written copies. Computers replaced hoards of workers with pencils in their hands hunched over papers with long columns of numbers on them. The markets are also getting increasingly efficient. B-B is just another step up in the ladder that started with the invention of money. ATG

To: George Dawson who wrote (635)	10/26/2000 8:08:03 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 686

george, let's imagine a small economy - a country consisting of 2 people who sell lemonade. one makes the lemonade and one sells the lemonade. they earn $10.00 a day selling their drink. 1 of the 2 people selling the lemonade is the owner and the other is an employee. one day, the owner buys an auto-lemonade machine and lays off her worker. the owner still makes $10.00 a day, except now we have one person unemployed. this example exposes the TRUTH about the tech "miracle." it has not been driving economic growth much more than the auto-lemonade machine (where there was no growth). that is why alan greenspan and company changed the gdp calculation - technology had an unacceptably small true economic impact. rather than admit the truth, they went with hedonic pricing - an economic / noneconomic hybrid measure of output. it boosts gdp growth by over 100%! of course, nobody can spend that 100% increase in gdp output b/c it doesn't exist! there is not tech miracle! there is not a "new economy!" this IS a BUBBLE stock market propelled by drastic reductions in savings, massive credit expansion and double digit monetary growth - all enabled by fake statiistics on inflation and gdp growth. real economic output is up about the same as in the 70s and 80s. $10 a day is $10 a day in sales. i can say, as has the us govt, that the $10 sold in lemonade today is really worth $11 b/c the machine mixes the lemonade more effectively than the worker. i can also say that, therefore, economic output of the lemonade country is up 10% and talk about a "new economy" 'til i turn blue. the us govt does this sort of "trick." the irony is that gdp isn't growing much faster than in the past but unemployment is much lower than in the past. hmmmmmmm.... is output per person just about level? ;-) caveat emptor.