Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: misterrob
The NASDAQ crash was due to other factors than Greenspan opening the spigots. Bubbles grow from unrestrained greed, loss of common sense, incompetence and fraud.

Both. The story of credit is the story of triggering greed, losing common sense, etc. It's the difference between investing your own money for the long term and playing with someone else's money for short term gains.

72 posted on 03/17/2008 8:34:43 AM PDT by palmer
[ Post Reply | Private Reply | To 59 | View Replies ]


To: palmer

The Nasdaq crash was driven by bad investment from the VC side and stock deals where companies were buying companies left and right by printing their own money. One of my partners would wander by my office telling me that NORTEL or Lucent had bought another company for $3-4 billion in stock and no one would bat an eye goven how common the practice.

Also, you cannot ignore the mandate that telcos had to share their netwoks with competitors at sub market prices which gave rise to a whole bunch of pretenders that were never going to be able to be cash flow positive as well as their suppliers, and the lies that said Internet traffic was doubling every 9 months. Oh, and let’s also not forget the inability for companies to truly value E-business models. That was a whole other story....


75 posted on 03/17/2008 8:42:02 AM PDT by misterrob (Obama-Does America Need Another Jimmy Carter?)
[ Post Reply | Private Reply | To 72 | View Replies ]

To: palmer
It's the difference between investing your own money for the long term and playing with someone else's money for short term gains.

Yep it is called GAMBLING

Like going to the track and thinking you are smarter than all the other bettors (at least you are using cash )

Short term buying and selling is the same thing --you are trying to out smart the other players
90 posted on 03/17/2008 9:12:59 AM PDT by uncbob
[ Post Reply | Private Reply | To 72 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson