...

well a basically forgotten part of my project was to utilize CoMotion(r) as a way to visualize market trends. Yesterday i spoke to my mentor about it, and we both thought it would be a decent idea for City High to get CoMotion(r) on all the machines and allow the students to use it. Today i met with Dr. Werthimer and the beginning of the trimester Dr. Werthimer, some technology teachers, and myself are going to meet and see if City High could really benefit from the program.

PROFITS!!!!!!!!!!!!!!!!!!!!!!!!

Well not too long ago i did purchase stocks with real money
i purchased 120 shares of Jones Soda and 30 shares of The Royal Bank of Scotland
i spent a total of just about $108, but already my portfolio has a profit of $362.70
making the net worth $470.10 which is a profit of 331.68%

Whats the point?

i am finishing up the questionaire portion of the proposal and the time line.

today i posted about the predisent and the market, worked some on my timeline, and tried to basically uncorrupt my works cited page.

the next step isuspose would be to start writing the actual proposal.

Senator Barack Obama is the 44th president of the United States of America

by this point the results of the election are universally known throughout the population. the president can have a much larger effect on the economy than many people realize. above the obvious of how every candidate claims to improve the economy. but many aren't exactly sure as to how?

mainly it is by a balance of a free and regulated market. i don't mean to over simplify this there are many more things that go in to such effects. such as, during the Clinton administration there is great leaps in the market; this is mostly accredited to the technology bubble.

the Dow Jones industrial indexes are also displayed on graphs and shown by who's administration was in office at the time

portfilio

So i was thinking of what my project will produce. And i came up with the idea of investing real money in some specific stocks and having my own investment portfolio.

I as for the stocks i wanted them to vary. I am going to get some shares of a company that is not directly effected by the housing market and the government bail out. I am also going to something such as a lending company who is directly effected. So right now i am doing research on what to invest in so i don't end up just wasting money.

VIX

The VIX is the volatile index. It shows how dangerous a market is. I am going to use this to determine how the Bailout has effected the market. In addition to quotes and graphs in general.

October 8th, 2008

Foundations questions are what i am working on.
Useless resources have been removed from the list.
Can't think what questions. But i
know the basic ideas.

DOW falling

Yesterday the Dow Jones closed under 9500.

To put that in perspective, only three months age it closed above 14000.

Real Project

Today i began to record the Dow Jones(DJIA), BerkShire Hathaway(BRKA and BRKB), American International Group (AIG), Freddie Mac(FRE), Fannie Mae(FNA), Lehman Brothers(LBC), and Bank of America(BAC). I put daily opens and closes on an Excel spreadsheet. The dates start at August 1st and will continue for a while. I did this so i can later import this data into CoMotion and use it in visualisations.

I chose these institutions because they are the ones most commonly effected and all but the Bank of America has has some kind of recent government aid and has drastically dropped. The Bank of America has bought out many other smaller failing banks so that is why that one is in there. Furthermore they all are directly effected by Federal Rate cuts, other than AIG.

Well...

The previous plan that i spoke about earlier is irrelevant because the House voted for the original proposal.

But today I came up with my essential question:

"How do government bail-outs and Federal rate cuts effect the stock market?"

Different plan

Today in The New York Times i read an article that proposes a different type of a bail out. As opposed to giving the money to lenders, the government will pay $250 of every home owner's mortgage every month. I will post more as soon as I learn more.

Bail out vote

Tonight the bail out proposal is going up for vote to the house again, it has already failed once.

It has been voted for by a majority in the senate.

Picture

Something New

I learned more about government bail-outs and how they can affect the American tax payer, and the economy.

Basically a government bail out is when a huge business, usually a lending institution, begins to fail and the government gives them massive amounts of money in exchange for a portion of the company. So in easier words it is the government buying huge numbers of stocks.

The obvious opinion is that this will raise tax prices, and it will. The projected plan uses about 700 billion government dollars that tax payers are going to need to pay. This ends up being some wher in the neighborhood of $2,300 for every american citizen. However, one must note that not every American pays income taxes, such as those who are too young to work. Thus bringing a bigger burden to those who do work and pay income taxes.

The second viewpoint is based on someone looking at the economy. If these lending giants were just jeft to go bankrupt, they probably would. But, if they were, more and more house values would drop and thus harming the lending industry more. If the lenders were suffering they would be less likely to give loans out, making it harder for people to buy a home, purchase a car, or even go to college. More important than it only making it hard to to get a loan, the market would fall more than it already has.

Both of these opinions depend on a long chain of reactions. These actions would most likely occur and both of them are probably true. The question is. whats worse: more taxes or a depression?

Today's Assignment

Earlier in the week i had 5 paragraphs explaining what the stock market is and how it works, but it got deleted. I am going to retype that as soon as i get my computer back because it is really hard to type on a desktop. But i am working on my key terms, i have 12 right now. The key terms are hard to do because there are so many terms for the market but most of them are irrevelant to my project. Most of my terms cane form http://www.tsx.com/en/market_activity/glossary.html that link is also on the side. Also, i looked at How Stuff works to see if i could learn anything new, I didn't.

I have been debating on greatly narrowing my topic. From going from my current topic, of the stock market, to only the affect of government bail-outs, and federal rate cuts.

Since I have narrowed my topic, over the past two days I have been doing research on the Federal Reserve Bank (more commonly 'The Fed'). I have posted some links about the fed as well.

Idea

I am basically set on an idea now.
I amgoing to combine two of my previous ideas. The stockmarket and new types of software. For new software i am going to use CoMotion, which is the product of my internship. It is basically a program for visualizations and different forms of displaying data.

Lost

I have three basic ideas, that are all in almost opposite directions.
They include:

1. Fusion and the energy crisis
2. The stock market
3. New adaptable sofeware (CoMotion)

I basically know what i want to do my project on, just not how.