Wednesday, October 01, 2008

I Wanna Write Sumpin' That makes No Sense

I got nothing. I haven't had anything for two days, either. The main thing that has been occupying my mind is the stupidity of the bailout, but still I got nothing.

The obvious that I need to point out is that the Dow closed over 10,000 for the first time ever in 1999. I am not an economist, nor am I involved in any way with the investment houses, but I am a baseball fan and we like stats.

Here is a historical graph of the Dow-Jones Industrial Average for its entire existence. Notice anything really strange? Can you explain that strangeness to me?

Let me try to explain it to you. It doesn't mean a damn thing. When you hear all this crap about largest drop in the history of the Dow, understand that the Dow first went over 1000 points in 1970. The Dow Index was first published in 1896, it opened at 40.94. It took seventy-six years to reach a level twenty-four times its starting point. Since that is a historical fact showing past performance, you can safely assume, running those numbers, that the Dow increases around thirty-two percent a year, right? Well, no, you have to look at the spurts of growth that surround new technology and innovation. But, let's just look at that math that we have been given and see if we come up with the numbers that we have today.

I am going to simplify the math, because I am doing this in my head, that good with you? Thirty-two percent of one thousand is three hundred twenty. If we add three hundred twenty to the Dow one thousand figure over the course of thirty eight years from 1970, we wind up with a figure of 13,160. Today, the Dow closed at 10831.07. How much is the market off of the norm that we determined? In my head, remember? So, if I am wrong in my maff, lemme know.

My maff tells me that the Dow is down from the historical growth at about eighteen percent. Now, again, what does this tell me? Not a damn thing.

Here's my problem with running these numbers. They compare apples to five. Points to be made.

The first wages in the United States that I can find with a thirty second search on Google, is in 1938 when the minimum wage law was introduced. It was twenty-five cents an hour. Today, the minimum wage is six dollars and fifty-five cents an hour. In other words, the lowest paid employee's wages have increased twenty-six times in seventy years. Average wages have gone up, too, but that would require another Google search, and that is too much trouble. So wages are increasing at a rate greater than the market?

Damn, I have no clue. But doesn't there seem to be a need for some kind of correlation? Oh, Hell who cares? I certainly don't.

You know, there is also a huge INVESTIGATION going on, but you know what is funny about it? They are only investigating from 2007 to the present. Wonder why, when the crooks were already working for Obama in 2007?

Call and e-mail your Congressmoron and tell them, "NO BAILOUT FOR MORONS!"

Oh, and that minimum wage laws are stupid and contrary to economic success, plus increase illegal immigration. I hate minimum wage laws.

Feh. Whatever.

The Ironman, movie? Unimpressive. (Why in Hell did I put a comma between "Ironman" and "movie?")

Anyhoo, here's a song about a car. Lyrics in the Haloscan comments.

Please take the time to comment.