Two factors that must be considered here, number one what goes up must come down, and number two the economy is cyclical it always has been and it always will be. When you add to that the fact that the stock market is over inflated to a stunning degree, price to earning ratios are way out of whack, and the debt load is currently unsustainable, you have a potential recipe for disaster. During times of prosperity (or shall I say inflated stock markets) people tend to get somewhat dizzy and they forget about history. Whether or not there will be a full-scale depression nobody really knows but there is going to be a monster correction. And it's not going to happen too far down the road. I would not be surprised if the Dow dropped to between 5, 000 and 10,000 points, and I would not be surprised if real estate prices dropped by more than half in the western world. This is not a doomsday scenario this is just a cold hard look at facts and reality. Dream all you want about the economy going ever upward and never correcting, but that's never happened in the history of mankind.
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