2 ms·

That doesn't answer the question, we still need to know the 'value of the company holdings', as you say. It's not the same as selling all the physical possessio

That doesn't answer the question, we still need to know the 'value of the company holdings', as you say. It's not the same as selling all the physical possessions of a company. You have to look at the income generated by the company, and then form an opinion of its worth. That's a subjective thing, so again we're back to the problem of determining a fair value. Basically, there's no formula for it. Or at least, no formula that everyone agrees on!

jqm 11y ago
In a theoretical sense, yes. In a practical sense, from a conservative perspective there are ways to tell market pricing probably exceeds actual value. And authorities could take steps at that juncture. But everyone wants to keep the petal as close to the metal as possible and keep pumping growth hoping reality catches up eventually. Which results in well deserved wrecks from time to time.