2 ms·
If everyone was rational and had full information, yes. But it can take a while for outsiders to catch on, and people are not fully rational. For two high profi
by scott_s 6y ago
If everyone was rational and had full information, yes. But it can take a while for outsiders to catch on, and people are not fully rational. For two high profile examples, look at GE and Boeing. They had a reckoning, but it took a long time.
- eru 6y agoWe don't need everyone to be fully rational. Especially not when short selling is safe and easy to do. With proper shortselling, a single entity can benefit from muckracking. Of course, short selling is the first thing that gets banned at the drop of a hat. To give a timeless example: https://www.google.com/search?q=france+bans+short+selling https://www.google.com/search?q=france+bans+short+selling You are right that it can take a while in practice. We should make it easier for the reckoning to come.