A Rich Life

The Old Ideas on Saving & Investing Don't Work -- Here's What Does

“The Get Rich Quick Psychology That Causes People to Believe That Their Stock Portfolio Is Worth More Than What the Peer-Reviewed Research Says It Is Worth Also Affects Their Views on Legal Actions.”

by

Set forth below is the text of a comment that I recently posted to the discussion thread for another blog entry at this site:

If you think laws have been broken, then file charges.  Otherwise, we know those are just more made up things.

The Get Rich Quick psychology that causes people to believe that their stock portfolio is worth more than what the peer-reviewed research says it is worth also affects their views on legal actions. When we solve one of these problems, we will have solved all of them. As of today, all that we have is the peer-reviewed research we need to understand what is going on. The next step is to give ourselves permission to discuss it at every internet site. Then we will be on our way to lots of wonderful advances.

Rob

Comments

  1. 30 years to build a multimillion portfolio is not get rich quick. Meanwhile. Going broke and staying unemployed for 2 decades is insanity.

  2. It is Get Rich Quick if you are counting amounts that are due to irrational exuberance as if they are real. Today stocks are priced at two times their real value. So those counting irrational exuberance as real are pretending that their accumulated wealth is two times what it really is. Is that not a Get Rich Quick approach? Someone with $500,000 of wealth tells himself that he has $1,000,000 and makes financial plans as if that were the case? Huh?

    Someone who has been building his portfolio for 30 years has experienced a great deal of real economic gains over the years. None of that is the product of Get Rich Quick thinking. But if he doesn’t make an adjustment for irrational exuberance at a time when valuations are insanely high, that’s extremely dangerous. It’s high-emotion behavior. Someone who hands in a resignation to a high-paying corporate job because he believes that irrational exuberance gains are real is hurting himself in a very serious way.

    I believe that we should permit honest posting re the last 44 years of peer-reviewed research at every site. I am not able to imagine any possible downside.

    Rob

  3. You have been wrong on everything since you started posting on the internet. Unfortunately, you have learned nothing and are now broke as a result.