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Re: preventing stock plunge



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The reason for the stock plunge is that all the world's stock markets 
including the BSE follow the US stock markets.  The US stock market is 
declining partly due to the overvaluation of tech stocks and as a result of 
a slowing economy.  With Alan Greenspan reducing interest rates and the Bush 
Tax Cut, we should probably see a recovery later in the year.



>From: "Komaragiri, Param (Param)** CTR **" <param@lucent.com>
>Reply-To: debate@indiapolicy.org
>To: debate@indiapolicy.org
>Subject: preventing stock plunge
>Date: Tue, 13 Mar 2001 14:12:00 -0800 (PST)
>
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>Please help make the Manifesto better, or accept it, and propagate it!
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>
>Dear Venu Gopal,
>
>  Recently you nicely explained demand supply aspects of
>basic economics.Can you please explain in the same lucid
>terms the significance, relevance of a stock market crash,
>stock 'points' they frequently say in a market plunge,
>what exactly happens in a stock trade ? is the value
>attributed to each stock too virtual? Is it going to whither away
>when energy based currency if at all becomes a reality?
>
>http://www.financialexpress.com/fe/daily/20010313/fbs13095.html
>
>I could find little reflections either with friends or magazines,
>books though hoped for a good grasp of  ' what it is'
>(except its 'effects' starting from the great 1930 depression).
>
>How do we ideally prevent a stock plunge to save an economy?
>
>
>Parameswar
>
>
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This is the National Debate on System Reform.       debate@indiapolicy.org
Rules, Procedures, Archives:            http://www.indiapolicy.org/debate/
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