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> This is incorrect; even basic economic theories of risk/investment account for uncertainty. > A key concept in economics is that people are economically rewa
by fictioncircle 10y ago
> This is incorrect; even basic economic theories of risk/investment account for uncertainty.
> A key concept in economics is that people are economically rewarded for investing the value they've created (as opposed to consuming it all), as compensation for taking on the risk involved in investment. Or to put it another way: part of the returns people get from investing is economic compensation for the risk involved in investing (as opposed to spending the money immediately, which entails no risk of losing that money).
So you view insider trading as an acceptable behavior accounted for in unrestricted capitalism?
If not, you misunderstood my meaning.
- logicchains 10y agoActually I do; it brings information into the market faster, meaning more-accurate prices are realised more quickly.