The stock market is already feeling the crunch of the millennium. Consumer confidence is dropping more and more as people become worried about the bug and how it will affect their investments. As consumer confidence drops, people will sell their stocks without reinvesting their money in the market. Although we have not witnessed a major run on the stock market yet, as we get closer to the millennium and people’s fears start to rise to the breaking point, we may see some huge losses.

Alan Greenspan has released many statements assuring investors that the bug will not effect the market. But is this truth, or just a desperate attempt to keep consumer confidence high and stop a potentially crippling run? Many experts agree with the latter. These skeptics find it hard to believe that the stock market will not suffer great losses. Their reasoning is so sound it is scary. We live in an interconnected world where one significant failure may have a great effect on our life. There are many examples of this phenomenon, most notably the effects the Asian crisis had on our stock market in October 1997. Take that into account next time you hear that Russia and most of the other countries in the world are not Y2K compliant, nor will they be by the millennium.