View Single Post

Default 

May 6th, 2011, 17:15
they just wanted to release it. It was because of their stock market orientation, I think. So we decided to go separate ways then."
I have a theory as to why would stock investors want behavior that is bad business like this. It has to do with the fact that 401k (an IRS incentive) retirement monies in the stock market grossly exaggerate market up and down swings. Instead of a market based on a truer valuation based on earnings/losses, it's become much more of a 'perceived value' which can have a greater effect on stock price than actual earnings. This is because there are more buyers than sellers with so much retirement money in the system. This is just one example of how the modern stock market is corporatism at work. It's not capitalism, as many presume.

Here's a video saying more generally what I said above.

Edit: and yes, the housing bubble does this too, caused by the Federal Reserve's artificially low interest rates. (the fed is not capitalist by any means)
Last edited by Daroou; May 6th, 2011 at 17:39. Reason: added vid link
Daroou is offline

Daroou

Sentinel

#4

Join Date: Sep 2009
Posts: 332