Paul Krugman Four Years Ago Today

The big rise in the stock market is definitely telling us something. Bulls think it says the economy is about to take off. But I think it’s a sign that America is still blowing bubbles — that a three-year bear market and the biggest corporate scandals in history haven’t cured investors of irrational exuberance yet.

And.

In short, the current surge in stocks looks like another bubble, one that will eventually burst.

June 20, 2003

From a reader:

He lied! Krugman knew there was disagreement among investment consultants as to whether the market was a bubble or for real, and he intentionally massaged the indicators, and hyped the financial intelligence to make everyone believe there was a link between the current bull market and the bubble of 2000.
How many people sold their stocks on Krugman’s intentionally misleading misrepresentation and failed to realize the gain that came with the continuing bull market?
Krugman lied, profits died!

Posted by Eddy Elfenbein on June 20th, 2007 at 1:24 pm

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.