Herman School of Business
What's the real data?
We don’t trust the news media because we think they slant their coverage…but we can’t always cite examples of what we mean. Watching CNBC is fascinating to me. The existence of the various programs on throughout the day is dependent on people playing in the stock market. If you are an investor…you must watch these shows so you won’t make a mistake, or miss a swing in volatility that might wipe out your portfolio.
Lehman Brothers stock is down ninety percent this year. If you had one million dollars in Lehman Brothers on January 1st you now have one hundred thousand dollars left. Ouchio! You have lost nine hundred thousand dollars in nine months. Wait one more before you sell and you might lose it all. So what chart do they put on the screen when they discuss the troubles at Lehman? They put up a ten year chart…from when Lehman was only a ten dollar stock so today’s price of about five dollars shows you have only lost fifty percent of your money. Huh?
Yes, the chart they put up is true. Yes, if you bought your chares of Lehman ten years ago you still have half of that money left. But you lost a lot of chance to take out a profit because that five dollar stock from ten years ago actually went up ten times that amount through the first nine years. Come on folks, let’s stop bending numbers around to make life seem better.
Truth in numbers is the only way I want to fly my airplane. Don’t show me an altimeter that gives me an altitude I was at ten years ago. Show me the truth about right now. Don’t show me last week’s airspeed…how fast am I going now. Don’t show me old information that makes today look better than I think it is. Show me the whole godawful mess we are in when I fly so I can make the best decision to correct the situation.
Distracting. That is what focusing on half-truth is. Did Obama slur Palin with his lipstick remark? Or was the half truth way it was displayed mean the Republicans were more sophomoric than Obama was? Who cares…we aren’t focusing on the real issues when we are mud-slinging about stuff like this. Hey idiots, people can’t find jobs with pay raises, food they can afford, or cars that don’t break the bank because gas is going out of sight. The truth is gas prices were lower in America than anywhere else for years. We could throw our weight around and control prices here better than other countries. We have now made other countries much stronger financially and they can charge whatever they want for oil and gas…because we aren’t as strong anymore.
Living in the real world of data and information is refreshing and empowering. Knowing the truth about your situation gives you more ability to affect a change. Welcome the truth about where you are and start changing your behavior to get where you want to be. Are you being distracted by the fog of half-truth or can you see through it to a clear understanding of what is really happening?
- Posted: 12 September 2008
- Comments: 0
- Category: Business success
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