For instance, take today's reporting of the drop in the Dow Jones Industrial Average. Everything is full of "biggest one-day drop ever" and "massive slump". It was in numbers, 770 points, but not in percentage terms. Only 6.9%.
Yet when you look back at previous large falls, October 1929, was a fall of 22%, albeit across three days of trading on the 24th, 28th and 29th. And 19th October 1987 was even larger at 32%.
But we aren't told these percentages. Just that it was the "biggest one-day drop ever!"
It's like the results of the poll that were announced a few weeks back that said that three million people in the UK are afraid of losing their job. No details were given for:
- who conducted the poll,
- what the sample size was, or
- where the people who were surveyed came from.
Wonder why the government wants to talk us all into a recession?
Is it because they want people to stop spending and start saving more? Like they do in Japan? Here's an interesting article about the Japanese bailout that occurred in the 1990's.
I wonder if banks that are "flush with cash" from savings don't have to have such an interconnected and complicated set of borrowings between themselves.
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