rarely watch tv, but I actually saw the show on my rabbit ears. Yardeni did have good points, such as talk about the employment, which is still strong, but he’s the guy who was screaming about Y2K depression and now hes a permabull?
ED YARDENI: “So what’s the worst-case scenario, that instead of your place being worth $2 million, it’s only going to be worth $1.5 million and you bought it for $800,000? You’re still ahead.”
$40Billion in bonuses on wall st this year, yeah thats Billion, so NYC is totally unique. Salaries, bonuses are nowhere like that elsewhere, outside of the Google area. Yet, Yardeni still acknowledges that 2M can go to 1.5M, which is 25% drop in the strongest market in USA.
ED YARDENI: “I don’t think Americans are stupid. People aren’t just buying things that they can’t afford. Maybe a few are, but for the most part Americans are doing extremely well.”
Dr. Yardeni completed his doctoral dissertation under Professor James Tobin, a Nobel Laureate, at Yale University.
Maybe he only meet smart and rich people. Most people dont how AMRS work, dont know what 535 means, cant fill out 1040ez form. but the good Dr thinks they are budgeting well. OK.
[I once came across a 1040EZ filled out by H&R Block It was maybe 5 lines. waitress 17K income, that its, you could use telephone for that.]
