by Robert Prechter
Updated: December 07, 2017
(Originally published January 17, 2007)
For its 2006 "Person of the Year" cover, Time magazine chose no person in particular but an abstract internet user: "You." Immediately we recognized that this cover, celebrating all of humanity, echoes the "I love everyone" spirit that we identified in our 1985 report, "Popular Culture and the Stock Market," as a hallmark of positive social mood extremes, and thus positive extremes in the stock market. Then we read the following lines in an Associated Press report (December 16, 2006):
It was not the first time the magazine went away from naming an actual person for its "Person of the Year." In 1966, the 25-and-under generation was cited; in 1975, American women were named; and in 1982, the computer was chosen.
Figure 1 shows that each of the years in which the magazine refrained from identifying a particular person or persons followed (by no more than 12 months) a major turning point in social mood and the market. The 1966 cover, issued at peak positive mood, was an expression of inclusionism and a focus on youth. As Prechter's Perspective noted, "In every field, women gain dominance in bear markets," and the 1975 cover, published one year after the December 1974 bottom in the stock market, highlighted this theme by celebrating "American Women." Time's cover of 1982, issued at the end of the 16-year bear market in PPI-adjusted terms, featured an inanimate object as Person of the Year, reflecting the feeling of alienation that attends extremes in negative social mood. The magazine's editors were apparently unable to reach a consensus on awarding the title to any member of humanity. Without doing it consciously, Time's editors may once again be reflecting the mood of a significant turning point--this time a peak--by honoring the collective "You."
[Real estate prices had peaked nine months before this report and underwent their biggest collapse in U.S. history. Stock prices topped nine months afterward and started their biggest decline since that of 1929-32.]
Suppose you could understand why some celebrities seem to rule the airwaves and movie screens one minute, yet are catapulted to obscurity the next. And why genres of TV shows become popular overnight. How and why trends fluctuate in the attendance of sporting events. Socionomic Studies of Society and Culture rewrites the book on what makes pop culture popular. Each chapter unveils how you can understand -- and sometimes even anticipate -- trends from fast cars to superstars, and from sex to the cineplex.
How? By putting the most exciting new behavioral science at your fingertips.
Flip through the latest news stories.
Now, imagine scrolling through the same items, nodding and saying, "THAT makes sense." And "THAT is right on time."
That is what Socionomics Premier Members get every month.
The same events that disrupt most people are confirmation to them.
You can join them.
The science of socionomics starts with an indisputable observation: How people FEEL influences what they DO. If you know how someone is feeling, you have a leg up on predicting how they will behave.
We zoom out. We look at how society is feeling so that we can understand--and even anticipate--how society behaves. As we track social mood in real time across the globe, we chart how its changes produce shifts in everything from the songs people want to hear to the leaders they elect to their desire for peace to their hunger for scandals to the trajectories of their stock markets, and more.
This is the great insight. It's what enables the Socionomics Institute -- and its members -- to stay ahead of all others.
Each month the institute's analysts show members how today's -- and tomorrow's -- most important trends will unfold. They give members an unrivaled perspective on the future, putting them miles ahead of herd.
As a member, you get everything the socionomists at the Institute produce, so you don't miss a single insight. You get...
THE SOCIONOMIST Magazine 12 issues per year ($300 annual value) No thinking person should be without this magazine.
100+ past issues
Socionomic Studies of Society and Culture
Online book. 588 Pages
Socionomic Causality in Politics
Online book, 496 pages
THE SOCIONOMIC THEORY OF FINANCE
Online book, 800 pages
ESSENTIAL SOCIAL MOOD CONFERENCE
Video recording, 5 hours
UPCOMING INSTITUTE BOOKS, DVDs AND EVENTS
Every book, DVD, paper, webinar, you name it--in digital format as soon as it's released.
Total annual value: More than $1,618.
For a limited time, we've created two easy ways for you to become a member.