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We aren’t talking about how it is, we’re talking about how it should be. Banning short selling would remove the ability to hedge a large long position and would
by camjohnson26 7y ago
We aren’t talking about how it is, we’re talking about how it should be. Banning short selling would remove the ability to hedge a large long position and would remove a necessary check on overvalued companies by providing an incentive to predict their collapse. Short selling serves an important role in the markets and banning it would be overkill and counter productive.