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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: JDinBaltimore who wrote (36235)	1/8/2001 11:41:55 AM
From: IQBAL LATIF	Read Replies (1) \| Respond to of 50167

<<Historic P/E range of INDU pre 95 and going back to 1929 using a smoothing average, and removing aberrations of 1929, 1987 yield avg. range over that time of 12-19, with a constant yield growth rate of 7.87% which your 24 and 8 example are comming upon. >> Historic 1929-995 P/E ranges with average growth rate of 8% is where I take exception. First of all this broad segmentation of the period is wrong, second we are not comparing the same economic cycles, it is the speed that has determined the growth of an economic cycle, tell me why it took 10,000,000 years for civilisation to move from cave age to age of Mesopotamian collective farming and why once collective farming was achieved it took only 6000 years that we had organised cities like Mohenjodero and Harrapa, and what led to the rise of the Roman Empire, and geographical untiy of the western Hemisphere restricted to Europe and Asia as never seen before.. and the revolution of thought that brought a lot of Prophets and huge increase in knowledge. Behind all this was something called a invention of wheel and taming of the Horse by something called harness and saddle, and taming of the power of the nature and finally the 'age of machine dawned on us' that led to the old economy companies propelling us in that era of enlightenment from 1929 to 1990. The dawn and speed of civilisational advance is directed associated with the speed at which we travel and integrate, I am proud of that fact that we are living now at the very beggining of thatr huge revolution where speed is now the the speed of light as our way of communication, in this cyber economy I don't want 15 PE with no growth. I want to back ideas in inception with no eanrings but with potential lock on the future of the world. The 'US Tech Inc.' or what you call as NAZ is just exactly that..I ma romantic follower you are still trapped in the age that started 10,000 years ago, the choice is yours are you ready to graduate to next level or still want to be aprt of the enlightenment that saw its peak in 1400 with renaissance, for me the 1929=90 era is the bassi of next leap forward for you the renaissance and 1929-90 revolution has not see any change, you think that 'death of distance economy' is same as horse of steam based economy that is where I ma having divergent views.. The death of distance and exponential growth of the 'idea' is absolutely unique, the markets we are looking at today are truly global. The guys who are caught up with the pre-occupations of 1929 or Nikkei did not see the excesses or the limitations of both disasters, in both case underlying revenue growth just did not support the market valuation in present case the revenue to market cap ratio with huge addition of the global perspective and global population can provide that huge jump that will make the average grwoth rate to move up to 20-25% for the major companies. The brnadisation of the world has its own benfits and to be a aprt of the future world where with very little I own part of Mot or TXN or NOK or MSFT or INTC or AMD or YHOO is my pleausre, you don't want to enjoy that is your choice, me in my little world is doing fine with the short trades but overall I enjoy and fell proud to be a part of such a unqiue global experience.. It is so untimely nad out ofp lace to discuss 'market romance' with PEG, but PEG of 1929-1995 is irrelevent or otherwise the whole financial system should melt.. with my best regards .. and have a good day today JDin.. I some time do take this blame that with all this tangential thoughts I amy have beocme -irrelevent' but this is what i enjoy. let me think freely and let me give you some insights how romantics of the world think, being oiptimistic has helped me all my life nad from the dusty poverty stricken hamlets to today I would always think theo nly thing that helped me was this vision thing, in markets I practice vision, detrimental but even I am wrong the pain is less and rewards are huge..