Market Fell Because It Got Ahead of Itself

Now for a few words about the stock market. Bear in mind, I have been writing for some time and saying on TV for some time that the market was too high, that the next move in the market was probably down, and sharply, and that we were almost surely in for some inflation, which would affect stock market prices. All of this turned out to be true, but I am here now to offer some hope: Stock market crashes come in two types.

One is when the market itself has some flaw, like a nuclear reactor whose cooling system does not work properly, and causes the reactor to melt down.

The other is when the market is discounting or forecasting some serious economic turmoil in the larger economy, so writes Ben Stein in The American Spectator.

Ben Stein is a writer, actor, and lawyer who served as a speechwriter in the Nixon administration as the Watergate scandal unfolded. He began his unlikely road to stardom when director John Hughes as the numbingly dull economics teacher in the urban comedy, "Ferris Bueller's Day Off." Read more more reports from Ben Stein — Click Here Now.