He (Arthur Laffer) also points out that there is a four- to eight-month gap between market performance and economic performance. Indeed, the market has often reflected good or bad tax news four to eight months ahead of their impact on the economy. We historically saw that after the Harding tax cuts (1922), the Smoot-Hawley tariff bill (1929), the Kennedy tax cuts (1963) and the Reagan tax cuts of 1983. If this pattern repeats, we could see the market begin to deteriorate sometime in the summer or fall of this year.
-Pete DuPont
Posts
Has it started already?
ReplyDeleteCheer up, the man said, It could be worse! So I cheered up and sure enough! It got worse!
ReplyDeleteOtis said, "The elevator goes up and then again, it sometimes goes down.
ReplyDeleteDepends on which button you press.
Right now, Obama has his thumb on the "down" button.
Otis was Laffer's great-great uncle.
At least Mr. Otis' invention would stop at the basement!
ReplyDeleteMr. Obama's digs the hole deeper!