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" Provided was not apples and oranges. People actually think 10% and 20% growth rates in the stock market represent economic growth. If the economy only grows at 4%, then the stock markets, et al, must crash back from 20% to average near 4% growth - because that is what the economy grows at."
4% plus inflation, and speculation about future growth. Speculation which powers the market of available capital. (Sometimes even intelligently.)
Moreover, the stock market only represents one set of public companies, and doesn't cover changes in the price of commodities, etc.
There are a lot of reasons why the stock market - productivity is not a zero-sum game.
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