Question: Do changes in stock values affect the wealth of households? Beginning in 1960, plot on a quarterly basis the percent change from a year ago
Do changes in stock values affect the wealth of households? Beginning in 1960, plot on a quarterly basis the percent change from a year ago of the Dow Jones Industrial Average (FRED code: DJIA) and the percent change from a year ago of household net worth (FRED code: TNWBSHNO). Compare the two lines.
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The percentage swings in household net worth are smaller in amplitude than those ... View full answer
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