I've been dwelling on the Austrian Business Cycle, and how, at it's very core, it is simply a restatement of Proverbs 13:11.
When money doesn't cost anything to obtain, it is spent (or invested) recklessly, and lost just as quickly as it is gained.
I'm not disparaging WallStreetBets. On the contrary, I'm enjoying their exploits terrifically because it is exposing the fraud.
In a sound money economy, the vast majority of profits taken from the stock market would come in the form of dividends. After all, what is the point of owning a business if not to profit from it's operations. That the market has almost completely morphed into manic speculation should tell you that something is fundamentally wrong with it.
The solution is for money to be priced correctly. Artificially raising the price strangles growth. Artificially lowering the price produces mal-investment and speculative bubbles.
I've been dwelling on the Austrian Business Cycle, and how, at it's very core, it is simply a restatement of Proverbs 13:11.
When money doesn't cost anything to obtain, it is spent (or invested) recklessly, and lost just as quickly as it is gained.
I'm not disparaging WallStreetBets. On the contrary, I'm enjoying their exploits terrifically because it is exposing the fraud.
In a sound money economy, the vast majority of profits taken from the stock market would come in the form of dividends. After all, what is the point of owning a business if not to profit from it's operations. That the market has almost completely morphed into manic speculation should tell you that something is fundamentally wrong with it.
The solution is for money to be priced correctly. Artificially raising the price strangles growth. Artificially lowering the price produces mal-investment and speculative bubbles.