CIBC World Markets analyst Robert Sedran lifted
the assumed average growth rate for the sector in fiscal 2018 from seven per cent to nine per cent, «turning what was already expected to be a good year into a better one.»
Assuming the average growth rate of the S&P 500 remains the same, your investment could double after just 7 years.
Not exact matches
Because low - risk investments return roughly 20 % on
average in a country with 20 % nominal GDP
growth, financial repression means that the benefits of
growth are unfairly distributed between savers (who get just the deposit
rate, say 3 %), banks, who get the spread between the lending and the deposit
rate (say 3.5 %) and the borrower, who gets everything else (13.5 % in this case,
assuming he takes little risk — even more if he takes risk).
Given existing U.S. demographics, even if we
assume an unemployment
rate in 2024 of just 4 %, civilian employment would reach 157.2 million jobs in 2024, resulting in an
average annual
growth rate for civilian employment of just 0.4 % annually over the coming 8 years.
Finally, if we
assume a sustained explosion in productivity
growth to 2.8 % annually, joining the highest quintile of historical U.S. productivity
growth rates for any 8 - year period, and
assuming an unemployment
rate of just 4 % in 2024, the result would still be real U.S. GDP
growth averaging just 3.2 % annually over the next 8 years.
If I
assume a dividend
growth rate of 6 percent (about the long - run
average *), the current S&P 500 dividend yield of 2.1 percent (from multpl.com), a terminal S&P 500 dividend yield of 4 percent (Hussman says that the dividend yield on stocks has historically
averaged about 4 percent), the expected nominal return over ten years is 2.4 percent annually.
Now, finally, the stock market is fairly - valued for conditions of low inflation and low interest
rates (
assuming average long - term economic
growth in the future).
We have
assumed that home prices will increase at the historical
average growth rate over the past 20 years.
Growth varies from year to year annually but it is
assumed to have an
average rate consistent with hitting the government's inflation target.
Of course you have to look at these in great detail, but what that means for 2050, when I worked out the numbers,
assuming our world population of 8 or 9 billion in the year 2050, is that if this world economic
growth rate continues to 2050 the way it has been in the past 30 years, you get an
average person in the world in 2050 being like today's
average European or Japanese.
A single $ 1,000 IRA contribution made at age 10, for example, could grow to $ 11,467 over 50 years,
assuming a conservative 5 %
average annual
growth rate.
If I
assume a dividend
growth rate of 6 percent (about the long - run
average *), the current S&P 500 dividend yield of 2.1 percent (from multpl.com), a terminal S&P 500 dividend yield of 4 percent (Hussman says that the dividend yield on stocks has historically
averaged about 4 percent), the expected nominal return over ten years is 2.4 percent annually.
This is
assuming the earnings
growth rate going forward is 7.2 percent (i.e., comparable to its long - term historical
average of 7.41 percent) and interest
rates remain at the current all - time low levels.
4.1 Trace Gases Scenario A
assumes that
growth rates of trace gas emissions typical of the 1970s and 1980s will continue indefinitely; the
assumed annual
growth averages about 1.5 % of current emissions, so the net greenhouse forcing increasese xponentially.»
Scenario A
assumes that
growth rates of trace gas emissions typical of the 1970s and 1980s - will continue indefinitely; the
assumed annual
growth averages about 1.5 % of current emissions, so the net greenhouse forcing increases exponentially.
We
assume that between 2005 and 2012 the economy grew at 2.5 % (on par with recent economist and CBO estimates of potential GDP
growth), the energy - intensity of the economy declined by 1.9 % a year (the
average annual
rate between 1990 and 2005), and the energy mix (and thus carbon - intensity of energy supply) remained constant.
Without this drastic USA cutback, IPCC estimates that we will reach 600 ppmv CO2 by 2100 (
average of cases B1 and A1T, both
assuming no special «climate initiatives», population
growth rate slowing down reaching 10.5 billion by 2100, with medium and fast economic
growth rate).