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To: Arik T.G. who wrote (554)7/20/1998 4:14:00 PM
From: yard_man  Read Replies (1) | Respond to of 686
 
Arik,

Nice to see a post on this thread. Haven't seen a new one since I bookmarked it. I lurk on a couple of the other threads you hang out on. I am also expecting a rather severe deflation in equity prices within the year (perhaps, very soon). Since this thread is about the big picture, I thought I might ask a few 'simple' questions and get your view and possibly the views of others who might lurk here.

Suppose, for the sake of argument, that within the next year there is a very severe decline in the price of equities -- i.e. ~ 29 magnitude. I suspect this would portend real economic difficulties for many within the U.S. and without (Britain already appears to be entering recession as we speak).

This boom has been led by the application of communication & information technologies and the accelerated applicaiton of the same technology at the firms actually producing the same.

What kind of fundamental shifts can we expect in the economy in the years following? Will the U.S. be stronger or weaker as a world economic power after the recovery? How deep should we expect the trough to be? (Certainly, things are different now as opposed to the 20's, right?)