Financial researcher Laurence Siegel explains his long-term macroeconomic optimism following the 2020 economic downturn.
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“Meanwhile, global growth should proceed around three and a half. Which is the historical rate. I think it'll be better, actually, because we have been in a slow period for the United States.”
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More from Larry Siegel
Opinion
Siegel: Modern Keynesians constantly stimulate, exhausting ammunition for real crises
“Keynesians generally don't have anything to do with the economics of Keynes. They think it's always an emergency, so they're always trying to stimulate, and then when you have a real emergency, they're out of ammunition and can't do much of anything.”
Larry SiegelMay 11, 2020▶ 32:30Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
AssertionPartly supported
Siegel: Total global forest cover is actually increasing, not decreasing
“And the amount of forest in the world is going up, not down.”
Larry SiegelMay 11, 2020▶ 53:33Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
PredictionOpen · timeframe May 2030
Siegel: Long-term investors should tilt toward value over growth over 10-20 years
“If you're a long-term investor, you should probably tilt your portfolio toward value, not growth at this point. You may lose for a while, but in 10 or 20 years, you'll be very happy.”
Larry SiegelMay 11, 2020▶ 21:14Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
Insight
Siegel: Stock performance is driven by corporate profitability, not GDP growth
“The underlying driver of a stock Isn't the growth of the overall economy. It's the growth of corporate profitability.”
Larry SiegelMay 11, 2020▶ 24:16Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
PredictionOpen · timeframe Dec 2099
Siegel: Global Population Will Peak Late This Century and Then Decline
“The population is going to continue to grow slowly and peak late in this century and then begin to decline.”
Larry SiegelMay 11, 2020▶ 50:40Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
AssertionSupported
Siegel: Half of the world's population is now middle class
“For the first time in history, half of the world's population is middle class. By the standards of the World Bank.”
Larry SiegelMay 11, 2020▶ 50:48Laurence Siegel – Current Myths and Long-Term Optimism (Capital Allocators, EP.137)
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