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           | Description | 
           Price-Earnings Ratios as a Predictor of Twenty-Year Returns: A twenty-year modification of the plot by  w:Robert Shiller (Figure 10.1 from Shiller, Robert (2005)  Irrational Exuberance (2d ed.),  Princeton University Press  ISBN 0-691-12335-7) using data from  irrationalexuberance.com/shiller_downloads/ie_data.xls. The horizontal axis shows the real price-earnings ratio of the S&P Composite Stock Price Index as computed in Irrational Exuberance (inflation adjusted price divided by the prior ten-year mean of inflation-adjusted earnings). The vertical axis shows the geometric average real annual return on investing in the S&P Composite Stock Price Index, reinvesting dividends, and selling twenty years later. Data from different twenty year periods is colour-coded as shown in the key. See also  Image:Price-Earnings Ratios as a Predictor of Ten-Year Returns (Shiller Data).png. | 
          
          
           | Date | 
           16 February 2008 | 
          
          
           | Source | 
           Own work | 
          
          
           | Author | 
            Stsmith | 
          
         
         
        
         
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