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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: BGR who wrote (59950)	5/20/1999 11:33:00 AM
From: Skeeter Bug	Respond to of 132070

still, stocks aren't tracking bonds as you assert or they would have dropped as rates rose.

To: BGR who wrote (59950)	5/20/1999 11:36:00 AM
From: Mike M2	Respond to of 132070

BGR, here are the productivity numbers: During the U.S. boom 1921-29 Real GDP growth averaged 6% annually with 1.5% growth in employment and 4.5% growth in productivity. In Japan during 1985-90 real GDP growth averaged 5% per year with productivity growth averaging 3-4%. Both booms delivered superior economic performance than todays " new era" . A few aspects of the current bubble which outperform the 1920s are valuations, public participation, credit excesses , the role of non bank credit all of which suggest to me a hard landing. in addition, we have record trade deficits, a balanced budget which is not balanced , a low savings rate, the lowest quality of earnings in history IMO primarily due to accounting treatment of employee stock options. Mike