Fluctuations - A Hemline Index, Updated - How Does Society Change in a Bad Economy? - NYTimes.com - http://www.nytimes.com/2008...
Oct 20, 2008
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"Back in the 1920s, the economist George Taylor conceived the hemline index, finding that skirts got longer as the economy slowed. These days, there’s been talk of a haircut index, with short locks signaling a market drop."
- Michael Muller
"DURING a recession, laxatives go up, because people are under tremendous stress, and holding themselves back,” said Mr. Shapiro, now chief executive of SAGE, a Chicago-based consulting firm. “During a boom, deodorant sales go up, because people are out dancing around. When people have less money, they buy more of the things that have less water in them, things that are not so perishable. Instead of lettuce and steak and fruit, it’s rice and beans and grain and pasta. Except this time the price of pasta’s so high that it’s beans and rice.”
- Michael Muller
“People are physically healthier in times of recession,” said Christopher Ruhm, an economist at the University of North Carolina at Greensboro. “Death rates fall, people smoke less, drink less and exercise more. Traffic fatalities go way down, which is not a surprise when people drive less. Heart attacks go down. Back problems go down. People have more time to prepare healthier meals at home. When the economy weakens, pollution falls.”
- Michael Muller
Things the article says or implies you should invest in during a recession: laxatives, rice, beans, candy, beer, pasta sauce, longer skirts, property crime prevention, employee assistance programs, and schools. Also mature-looking models and actresses.
- Casey Muller
But do you go short or long on some of these?
- Michael Muller