Tuesday, July 7, 2009

Dow Ends Lower Due to Talks of Possible Stimulus

Reasons to not trust the stock market as a barrier of the state of the economy:

1) This.

Discussing something to stimulate the economy causes the stock market to crash further because the economy "might" be worse. That's stupid, since the crashing stock market makes the economy worse. A reactionary response that loses people millions simply because the government is talking about ways to make the economy better is at minimum counterproductive, and at maximum doomed to failure.