Presidential candidate Sen. Elizabeth Warren likes to tell everyone that she “has a plan” for virtually every issue facing the country. Most of her plans (tax the rich schemes to pay for massive new government spending) are untested campaign proposals that have little chance of going anywhere in Congress.
This summer, Warren unveiled a plan to rein in the private equity industry, which she accused of “looting the economy.” Her plan would place restrictions on corporate takeovers and restructurings and repeal the tax breaks related to mergers and acquisitions. This same type of plan was responsible for the stock market crash of 1987.
On Monday, Oct. 19, 1987, the Dow Jones Industrial Average crashed 508 points, a 22.6% drop. That’s the equivalent to a more than 6,000-point drop today. This Black Monday crash was the largest one-day percentage decline ever in our history.