Letter 1: From: N Sent: Tuesday, April 03, 2018 2:13 AM To: Walter Block ; Subject: Stock Prices Why do stock prices systemically go up? The S and P 500 has been going up slowly but steadily for many decades. What determines stock price is either dividend payments or reinvestment for the purpose of increasing future dividend payments – in other words, the profit margin. Now, you wouldn’t necessarily think that profit margins would go up over time, just as some businesses become more successful over time, other businesses fail. You might expect them to counterbalance each other. Stock market … Continue reading Explaining Stock Market Prices by Laura Davidson