1. Chinese regulators caused the meltdown
2. It was Greenspan’s fault.
3. Blame China’s market crash.
4. A Dow Jones Glitch caused the plunge
5. Prices Fluctuate
(And we got fluctuated pretty good)!
6. Stock prices will be higher six months from now.
7. Selloffs such as this are healthy.
8. The Fed stands by ready to cut if this gets much worse.
9. The market is not forecasting a weakening economy.
10. This had nothing to do with anything fundamental!
There are specific details under each of the 10 points posted with the full column.
Top 10 Myths of Tuesday’s Correction
TheStreet.com, 3/2/2007 3:38 PM EST
Mankiw’s 10 principles of economics, translated for the uninitiated. Presented at the AAAS humor session, February 16, 2007. Transcript and additional details can be found here. Print version: Mankiw’s Principles #1. People face tradeoffs. #2. The cost of something is what you give up to get it. #3. Rational people think at the margin. #4….Read More