Archive for November, 2008

Worst Since 1989

Posted on November 20th, 2008 by pratolo
Filed under Business Strategy, Survey & Research | 4 Comments

How long could a downturn last? Surveying dozens of recessions around the globe, the IMF survey says that the combination of lower home values and stock prices, coupled with a credit contraction, could extend economic doldrums to three years, compared with less than one year for the typical recession. Why? Partly because it takes a while for consumers to realize their predicament, then even longer to start splurging again.

Earning, Earning Growth, and Philosophy of Stock Market

Posted on November 10th, 2008 by pratolo
Filed under Investing Basics | 2 Comments

“A financial theory stating that the market value of a firm is determined by its earning power and the risk of its underlying assets, and is independent of the way it chooses to finance its investments or distribute dividends.”