> stock market valuations and in the value of the dollar. Claims that > current American stock market values are sustainable rest on a belief > that attitudes toward risk have changed and that the marginal investor > in the stock market now expects a Treasury bond-style rate of return > from equities. But no one holding Cisco or Yahoo today does so because(posted 8756 days ago)I'm inclined to agree, but the best counter-argument I've heard is that the bubble is kept afloat by the 401k effect - until boomers start to retire (there is no way to move your 401k into cash except maybe to by a t-bond fund).
Is that effect significant?