Feed on
Posts
Comments

You are probably familiar with the old saw that under “capitalism” people focus exclusively on the short-run at the expense of the long-run. Never mind of course the absurdity of the political system which takes this idea to the extreme – we can’t possibly expect folks to apply their logic consistently across all human institutions. Let’s today instead examine the presumption head-on.

First of course, if you wish to take a literal definition of “capitalism” as simply extensive private ownership of the means of production, with the use of prices to allocate resources – then there really is not a short-term / long-term distinction to be made. Consider what happens to the price of your home when you make an investment in it that will make it last longer? Consider the value of property in a city that builds up enhanced storm resilience and protection?

Here are two recent papers that address the alleged problem of “short-termism” in financial markets.

  1. Long term investing, part 1. How much evidence is there linking short-term stock-market performance to silly firm decisions? Not much.
  2. “Short-term” institutions are better informed.

 

9 Responses to “Wednesday Morning – Nothing to See Here”

  1. 853226 928609I dont normally take a look at these types of sites (Im a pretty modest person) – but even though I was a bit shocked as I was reading, I was surely a bit excited as nicely. Thanks for generating my day 755074

  2. binance says:

    Your point of view caught my eye and was very interesting. Thanks. I have a question for you.

  3. online chat says:

    228922 290679This web internet site is typically a walk-through its the data you wished concerning this and didnt know who ought to. Glimpse here, and you will surely discover it. 138057

  4. I don’t think the title of your article matches the content lol. Just kidding, mainly because I had some doubts after reading the article.

  5. 992588 712519When I originally commented I clicked the -Notify me when new surveys are added- checkbox and from now on whenever a comment is added I purchase four emails sticking with the same comment. Perhaps there is by any means you might get rid of me from that service? Thanks! 324929

  6. 776067 647203Water-resistant our wales in advance of when numerous planking. The specific wales surely are a selection of heavy duty snowboards that this height ones would be the same in principle as a new shell planking having said that with significantly far more height to help you thrust outward in the evening planking. planking 420578

  7. altogel says:

    342425 489633How do I know if a WordPress theme supports a subscribe option? 794635

  8. 513959 755668You produced some decent points there. I looked on the net for any concern and identified most individuals goes in addition to with all your website. 962176

  9. 366259 811441Deference to op , some superb entropy. 918358

Leave a Reply