INTERVIEW ON THE PRICE OF BUSINESS SHOW, MEDIA PARTNER OF THIS SITE.
Recently Kevin Price, Host of the nationally syndicated Price of Business Show, interviewed Adam Shapiro. Shapiro is an anchor at Yahoo Finance and a regular on the Price of Business.
On a recent Price of Business show, host Kevin Price and Adam Shapiro discussed the parallels between the economy and stock market in 1968 and 2020.
“There is ample precedent for this disconnect in the events of 1968, one of the most tumultuous years of the past century and indeed the nation’s history. Despite assassinations, cities in flames, student sit-ins, and political demonstrations, the stock market moved steadily higher.
In April 1968, “there were riots in 125 U.S. cities with 82nd Airborne on the streets of DC. [The S&P 500 ] gained 16%.”
The “U.S. economy was in the midst of one of the most robust expansions in history, spurred by the ‘guns and butter’ fiscal policies of Great Society programs and Vietnam War spending.
“While interest rates crept higher, the central bank accommodated the surging demand for credit, expanding its balance sheet at a nearly 10% annual rate. The broadly defined money supply expanded at a 9.7% annual rate. With ample liquidity being fed to a strong economy, stocks rose despite the social unrest.
“It seems the simple expansion of liquidity via expansionary fiscal and monetary policies can lift stock prices on Wall Street even while chaos reigns on the streets of America’s cities.”
Adam Shapiro is the anchor of the Yahoo Finance daily show, “On the Move.” He is an Emmy Award winning journalist and former Fox Business correspondent. He is a regular guest on the Price of Business show. Learn more atwww.YahooFinance.com.
The Price of Business is one of the longest running shows of its kind in the country and is in markets coast to coast. The Host, Kevin Price, is a multi-award winning author, broadcast journalist, and syndicated columnist. He is Editor at Large for this site. Learn more about the show and its digital partners at www.PriceofBusiness.com.
