Danger: liberal economist ahead

Among the most destructive things known to man is an idiot with initiative.

Brad DeLong is a liberal economist. With initiative. You do the math.

From DeLong:

The S&P stock index now yields a 7% real (inflation-adjusted) return.

One might ask, “Brad, just when is now and what did you use as your start and stop points?”

Such questions are not unreasonable as this site says the S&P 500 Dividend Yield is 2.09% as of 4:30 pm EDT, Thu, 31 May 2012.

Or you might use the S&P 500 Total Annual Returns which is listed for 2012 as 2.05%.

Paul Krugman is also a liberal economist. With initiative.

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About Professor Mockumental

I enjoy almost all forms of parody, buffoonery, and general high-jinks. Satire has shown itself to be an essential societal need; I therefore humbly offer my services in such a manner. I enjoy mocking the usual suspects at the New York Times (Charles Blows, Moron Dowd, and the earth is flat guy) and Washington Post (Dana Milkbag, E.D. Dijon, and David Ignoramus). There are many others as well, but sadly, there are always too many targets and too little time.

Posted on May 31, 2012, in Uncategorized and tagged , , , . Bookmark the permalink. 1 Comment.

  1. The 7%/year earnings yield is now. 2% of that will show up in dividends. 3% in share buybacks. 2% in retained earnings reinvested in the businesses of the S&P composite.

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