4 ms·

What is the market cap of the largest horse buggy-whip manufacturer these days? The largest automotive manufacturer? I don't think that term means what you thi

• eru 9y ago
  > Efficient-market hypothesis (EMH) is a theory in financial economics that states that an asset's prices fully reflect all available information. (https://en.wikipedia.org/wiki/Efficient-market_hypothesis https://en.wikipedia.org/wiki/Efficient-market_hypothesis) So, if buggy-whip manufacturing is really such a terrible business that everyone can tell will go under in a few years, their shares will already trade low. For today's care manufacturers, the jury is still out and they can still pay quite a few dividends even when in decline. Hence their reasonable non-zero share price. > I don't think that term means what you think it means. Please re-evaluate.