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To: Thomas Mercer-Hursh who wrote (24707)5/14/2000 12:30:00 AM
From: Mike Buckley  Respond to of 54805
 
even for one within the "flock", is that the down swings try the souls of many and the up swings tempt them with the prospect of doing even better.

You're right, Thomas. That's why I try to get my friends to select a simple system and stick to it. By selecting a simple one instead of a complex one, it's much easier for most people to stick to it.

The one thing I really don't understand is why it's so difficult for so many to ignore the patterns of behavior and the layers of complexity that anecdotally lead to both angst and underperformance. Why is it so difficult to look at the patterns of decades of economic growth and the correlation with stock prices and simply let those powers work in our behalf? The only reason to ignore those decades-long trends so directly related to humans' desire to always improve their lives is to provide strong evidence that this time it's different, that this time the economy isn't going to grow over long periods of time, that this time stocks really won't be higher 30 years from now, that this time it really is more important to try to time the short-term fluctuations because in the end the long term will lose out for the first time in the history of mankind.

--Mike Buckley