Saturday, January 2, 2016

The best, biggest example I've seen of lying with statistics in a long time.

The Wall Street Journal piece is called "U.S. Stocks Post Worst Annual Losses Since 2008" and if I ran the world it would be phrased differently. Stock markets end slightly down for year? First annual close in red since 2008? Anyone? Comparing 2015 to 2008 is like comparing getting a splinter to catching AIDS.

While I'm on this I endorse the film "The Big Short" which explains the housing bubble that popped in 2008. It warns us of "bespoke tranche opportunity" rearing its head as the new villain in 2015, but 2015 isn't 2008 and that's not why our peaking stock market naturally dipped.

No comments:

Post a Comment