Question: How do you depression-proof your assets. Nancy, Columbus, OH. The bottom line is that if we were heading into another deflationary depression the best assets to own are default-free Treasury bills and Treasury bonds, with some other very high quality fixed income securities thrown into the mix.
Now, mention deflation and the markets, and most people will recall the stock market crash of Volume reached a record From its peak of At the end of the decade the Dow stood around the mark, and equity investors had earned a mere real 1. Like the s, the stock market seemed everywhere during the go-go years of the s. Wealthy or not, many investors lost fortunes. Comedian and singer Eddie Cantor supposedly lost a million dollars. Richard Whitney, acting president of the New York Stock Exchange during the crash and a famous broker with the prestigious firm J.
Morgan as his client, grandly lived well above his means. He was caught, convicted, and sentenced to Sing-Sing prison. He was forced to resign in , and indicted for income tax evasion the following year, although acquitted. In the case of the Great Depression, questionable monetary policy took the blame. After the stock market crashed in , the Federal Reserve Fed continued to hike interest rates —defending the gold standard took priority over pumping money into the economy to encourage spending.
National Bureau of Economic Research. Download PDF. Accessed Dec. Business Cycle Expansions and Contractions. Federal Deposit Insurance Corporation. Bureau of Labor Statistics. Bureau of Economic Analysis. Encyclopaedia Britannica. Federal Reserve Bank of St.
Tom Nicholas and Anna Scherbina. Real Estate Economics 41, no. Monetary Policy. Your Privacy Rights. To change or withdraw your consent choices for Investopedia. At any time, you can update your settings through the "EU Privacy" link at the bottom of any page. These choices will be signaled globally to our partners and will not affect browsing data.
We and our partners process data to: Actively scan device characteristics for identification. I Accept Show Purposes. Your Money. Personal Finance. Your Practice. Popular Courses. Part Of. Introduction to Economic Depression. History of Economic Depression. Government Actions. What Is a Depression?
Your email address will not be published. This post may contain affiliate or referral links. Read more about this in our disclosure policy. Author Recent Posts.
Danielle, The Frugal Navy Wife. I am a mom to 5 kids, homeschool mom, blogger, social media junkie, Frugalista, Book Worm, and Closet Want-to-be Chef. We are a Roadschool family homeschooling on the road while traveling fulltime. I grew up learning ways to save from my mom and grandma. Click here to learn more about starting a blog. Leave a Reply Cancel reply Your email address will not be published. This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish.
Close Privacy Overview This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are as essential for the working of basic functionalities of the website.
We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies.
But opting out of some of these cookies may have an effect on your browsing experience. Necessary Necessary. Necessary cookies are absolutely essential for the website to function properly.
This category only includes cookies that ensures basic functionalities and security features of the website.
0コメント