In: Accounting
From Harvard Business HBX CORe 2020 May - Financial Accounting - Module 7
Share a link to a news report of a company where the financial forecast went spectacularly wrong and describe what you find particularly interesting or notable about it.
Irving Fisher was a noted 20th-century professor. No less an administration than Milton Friedman called him “the greatest economist the United States has ever produced,” and several of his participation to finance, such as the Fisher equation, the Fisher hypothesis and the Fisher separation theorem are cited by professors to this day. Yet notwithstanding his intelligence, he did one announcement in 1929 that slaughtered his trustworthiness for the death of his time. Three days before the Wall Street Crash of that year,
Irving Fisher was a noted 20th-century professor. No less a professional than Milton Friedman called him “the most famous economist the United States has ever produced.” Many of his participation, such as the Fisher equation, the Fisher hypothesis and the Fisher separation theorem, are cited by economists to this day.
Yet one report he made in 1929 ruined his trustworthiness for the rest of his life.Three days before the Wall Street Crash of that year, he declared that “stocks have transferred what looks like a forever high period.” When he was denied 72 hours following, he decided to get out from under the announcement, but months of placing a confident spin on developing only additional consumed his honor.
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