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Tell me the last time that US stocks fell 90 percent in one day, week, month, year, decade or century?

It was a hypothetical, Prometheuss. Think through the hypothetical, and you will understand the point.

Here is the quote from Bernstein found in the Chapter One Summary from his most recent book, The Four Pillars of Investing:

His description of how he got the safe withdrawal rate number is in Chapter Two, Prometheuss. Please read Chapter Two.

Actually, the quote you cite from Chapter One makes the point well enough, if you take a moment to consider it. Here's your quote:

"Be especially wary of data demonstrating the superior long-term performance of U.S. stocks. For most of its history, the U.S. was a very risky place to invest, and its high investment returns reflect that. Now that the U.S. seems to be more of a "sure thing," prices have risen, and future investment returns will of necessity be lower."

Intercst didn't factor in the reality that prices have risen so much. That's why he came up with the wrong number for the safe withdrawal rate.
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