Welcome Everyone,
My final research project will be about predicting the Dow Jones Industrial Average (index numbers). The Dow is a market index used to show how the U.S. economy is doing at any particular moment. It is made up of 30 companies that are the most traded stocks. I have inserted a photo of the Dow's history - you may notice the greyed areas, which are major economic downturns, and how they were reflected in the index. Additionally, you can learn more about the Dow and its history here. I have now watched both the interviews on 'Behavioral Economics' and 'Corporation and Climate.' For the purpose of this assignment, I will elaborate on the latter. The 'Corporation and Climate' interview with Professor Alyssa Goodman and Rebecca Henderson explained how businesses use predictions to navigate the future of their companies. Climate change seems so far-fetched and distant because of its invisible nature that many businesses do not think about it as much as they should, but each day, it is becoming more and more relevant. This interview harps on the biases that people who work in big business hold and how they can be addressed to better predict through uncertain waters. This interview is relevant to my research project on the Dow Jones Index because every business on the Dow has a board of executives. These executives need to consider the evolving change of the world climate so that they may find themselves listed on the Dow. Boards must be aware that our future may not look like our past, and preparing for this may be unsettling. It would be interesting to look at how executives talk about the future in conference calls with the media to see if they are ready for or at least preparing for such change in the future.
Best,
Joey Cano
Imagine Citation: https://www.wealthguards.com/blog/why-the-dow-jones-industrial-average-djia-is-a-terrible-benchmark