Socialist investing

January 18, 2012 | By | 1 Reply More

Dan Solin points out that it’s more profitable to invest in socialist countries:

According to one report, for the 39 years ending December 31, 2008, the annualized stock returns of “socialist” countries (like Norway, Denmark, Hong Kong, Sweden and France), exceeded the stock returns of the U.S. Unlike the U.S., these countries aggressively curtailed economic freedom. It appears there is an inverse relationship between higher returns and economic freedom. It is also difficult to conclude that government intervention in private industry is a precursor to lower returns.

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Category: Economy

About the Author ()

Erich Vieth is an attorney focusing on consumer law litigation and appellate practice. He is also a working musician and a writer, having founded Dangerous Intersection in 2006. Erich lives in the Shaw Neighborhood of St. Louis, Missouri, where he lives half-time with his two extraordinary daughters.

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  1. Adam Herman says:

    Makes perfect sense. If a government outlaws competition and creates a monopoly, of course the corporation receiving such a benefit will be a great investment. I’m not sure how this is good government or a benefit to the people. Such a policy really only helps the corporation and its investors.

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