shintao
Take Down ~ Tap Out
- Aug 27, 2010
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Without the stock market, publicly held corporations would not be practical since there would be no market for the shares of ownership. In essence business would have to be owned by the government, single proprietors, partnerships, or private corporations. None of these options would be workable in our economy.
I see no problem with that, and more of a problem with billions out of circulation, trillions given away and banks folding or being bailed out, where the loans should come from after being scrutinized by Bankers for credit worthiness. Single proprietors are the Libertarian way of individualism America was built on, correct? Cons love it! Government not be involved, as I just said separation of corporate & state. A business makes it on it's own with good fiscal responsibility watched by lender banks, or it fails, it is not my problem. The more small businesses created, the more workers that are needed.
I agree, the more small business, the better. The problem that a small business runs into as it grows is that it can not raise enough capital by borrowing from the bank. Then there is a need for new investors which leads to a publicly owned business which means you need a market for the shares of ownership.
Nope. The Stock Market should be illegal, for the very reasons I cited. Let the owner of the business who can't get a bank loan, fail and someone else replace him. That is capitalism, filling the need. If a Bank looks at a business and says it is a bad loan risk, why should that company be allowed to sell shares when it is about to fail. That is fraud.
Later all! Dinner calls.............