| Why is the US stock market so lucrative? |
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The US dollar. It allows us to sanction anyone at anytime we want. It also allows to borrow indefinitely.
Your Bodega shop owner at the corner street if you talk to them about the national debt they will just gives you blank stares. They have no idea what you are talking about If you ask one of the millionaire who post here they panic about it. And do you know why? Because they know their children will pay the price. So what do they do in response? They vote for politicians who will keep increasing liquidity into equities so they can cash in as soon as possible and set their kids up. |
| Because of pwc. |
| It’s cyclical. In the 90s everyone was obsessed with being like Japan so we could carcu ypnto their economy. Now Japan has been stagnating for 30 years and that could be us for the next 30 years |
| It's the ultimate ponzi |
| The sooner this stock markets enter a significant correction the better. But I don't foresee a significant correction anytime soon because the current wall street gangsters making national economic decisions will keep juicing up the market |
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No one has given you the simple answer.
It's because the economy has been doing well and it reflects in the value of the company's revenue. Think about it long term. If you're a fortune 500 company, in order to keep up with inflation and costs, they always increase their prices to their clients. That increased revenue / profit is why their stock value goes up. |
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Because we are an ultra capitalist country. We celebrate those who have succeeded and hide this who "failed"
I spent a year in Ivory Coast. Americas propaganda is real. Sure Ivory Cost is a very poor country. But some part of DC and Maryland are as run down as some of the poorest neighborhoods I saw in the capital city there. |
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Relatively free markets and generally tolerable levels of corporate taxation, which mostly allow companies to be successful and grow if they are well-run and provide goods/services people want. Companies which increase in value provide positive returns to their owners, whether privately or publicly held. Anyone can participate in the growth of public companies if they want to, so investment capital from even small investors is attracted to growing companies.
The same dynamic weeds out poorly run, poorly conceived, companies, and those which fail to provide what customers want or which can't compete against more agile, better run, competitors with better ideas and offerings. That is, the U.S. market is self-regulating - losers are normally not propped up by government fiat without regard to actual commercial viability. That's not always true in some other countries, where market forces are subordinate to government manipulation. |
It's not a ponzi. But it's a hell of a lot closer to it than most people realize. I kind of think of it as a betting app. I'm reading 1929 right now, and the insight is fascinating. |
No. |
| The US economy is still safer than most other options |
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Domestic demand for investments from individuals is high in the US. Unlike many other countries, pensions outside of government and unionized labor are very rare, so individuals invest through 401ks and/or brokerage accounts.
Europe has been wrestling with this question for some years because governments simply won't be able to afford pensions as they fall due--think of our social security, but at a much higher percentage of salaries. Instituting 401k type arrangements there has been a struggle because there is no tax unification across the countries. At the same time, a strong motivator for investment savings, leaving an inheritance for children, is stymied by high estate taxes. In France, for example, inheritance tax on stocks is very high but much lower on real estate, so the latter is where people go if they wish to leave an inheritance for their children. |
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We are a society of consumers and easy and cheap crecdit make it so everyone can be an uber-consumer. But it has its consequences.
"Average Balance: As of late 2025, the average cardholder carries a balance of approximately $6,700 to $7,900. The "Revolving" Gap: For the roughly 49% of households that carry a balance from month to month, the average debt is much higher, sitting at $11,413 (up about 4% from the previous year)." |
Agree |