The average returns for large-cap stocks have been around 9 or 10 percent. This is in a period where GDP growth has averaged less than 3 percent actually 2.31 percent over the past 20 years 1999-2018. How is this possible that stocks can produce a multiple of GDP growth?

If the new normal for GDP growth is 2% (or less) what would be your long-term average of future stocks returns? Why?