Fun With Dick And Jane: Movie Analysis

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Fun with Dick and Jane is a movie centered mainly on economics. It begins with Dick Harper, a hardworking employee at a corporation named Globodyne. Dick Harper has just gotten a promotion to become the Vice President, but realizes the next day that it was all just the CEO’s ploy to make him the scapegoat of the criminal activity the company had been involved in. Everyone at the company loses their jobs along with their pension, and the company’s stock drops drastically. Now Dick is jobless and unable to make money to support himself and his family. He spent months on a job search and could not find anything, after he and his wife , Jane, could no longer take it, they resort to a life of crime in order to keep the comfortable lifestyle …show more content…

Diversification is a risk management technique that mixes a wide variety of investments within a portfolio. In Fun with Dick and Jane there is a scene where Dick and Jane find themselves stressing when all of their belongings start to get repossessed. They discover that after the crash of Dick’s company they would owe more to the bank than the house is worth. Right after they find this out, Jane points out that both of their savings and pensions were in Globodyne stocks. The company failed and they basically lost all of their retirement and lifesavings because Globodyne stock was now worth pennies. This shows the importance of diversification in a saving and investment portfolio. If you diversify your portfolio, your investment performance should be subject to less fluctuation because the gains of some investments will cancel out the losses of others. Therefore, the risk is less if you don’t put all of your money into only one type of investment. I think talking about diversification would be important in Econ 277 because there should be a real world section. Where students could be taught about useful parts of the economy they could use to their advantage even if they do not choose to follow a career path that has to do with

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