The Costs of the Stock Market Bubble

Publication Date: November 2000

Publisher: Center for Economic and Policy Research

Author(s): Dean Baker

Research Area: Banking and finance

Keywords: Savings rate; Consumption; Federal deficit

Type: Report

Coverage: United States


This report examines the costs associated with the stock market bubble. It places the size of the market's over-valuation at between $8-13 trillion, depending on assumptions about future profit growth and long-term equity premiums.