March 1, 2017

PAUL KRUGMAN ON ELECTION NIGHT: “If the question is when markets will recover, a first-pass answer is never.”

The Wall Street Journal, just now: Dow Surges 303 Points to Top 21000 for First Time. “The Dow Jones Industrial Average surged more than 300 points to cross 21000 for the first time Wednesday, as investors embraced optimism from President Donald Trump and Federal Reserve officials. Stocks have soared since November, with the blue-chip index surpassing 19000, 20000—and now 21000—since Election Day.”

Stocks will drop sooner or later, of course, but that won’t vindicate Krugman, who claimed on election night that Trump’s election was an immediate economic and financial apocalypse.