Day traders have always tried to get in as fast as possible. They hold on to stocks for an extremely short time, and it's perfectly legal.
Would you categorize day traders as wealth producers or wealth extractors?
The difference between wealth creation and wealth extraction
"Investment means two quite different things. One is the funding of productive and socially useful activities, the other is the purchase of existing assets to milk them for rent, interest, dividends and capital gains."
Your link is pure BS. As soon as I seen the Socialist term
unearned income, I knew it was written by somebody that has no idea WTF they're writing about. He says that being a landlord is bringing in money without working for it. Oh really? I'd like to see him come here and show me how I don't have to work for it unless I hire everybody to do my work for me, which of course would eat up any profits defeating the concept of investment. Christmas eve and day we are expecting a major snow storm; a foot of lake effect snow or more. That means I may not be able to celebrate with my family as I have to keep the parking lot and drive cleared for me and my tenants and perhaps guests, unless I can talk my sister into celebrating one day later. But she's a stubborn type of person.
Companies don't sell stock out of the goodness of their heart. In essence, they are selling part of their own company they created to strangers they never met in their life. You always come here complaining how unfair it is that people have businesses while most others have to labor for their money. Well......not really. You can buy stock making you part owner of a company and share in their profits without taking the initial risks of opening up a business. Of course that also means you share in losses a company may take as well.
When a small business needs to expand, they often take out loans. They use money from these loans to perhaps build an addition to the building, hire more employees which creates jobs, buy more machines which puts other Americans to work because somebody has to build that equipment, open up another outlet on the other side of town, or perhaps in another city or state. Of course interest on big buck loans is expensive. By selling stock, the owner has interest free money they can use for these additional investments. Instead of paying interest on borrowed money, they can expand using money they already have from their thousands of part owners of their company.
Day Traders: Day traders make small amounts of money buying and selling stock, sometimes only holding on to shares for a few hours. When you buy stock, in most cases you are buying that stock from another stock holder--not the company itself. The company only sells so much stock. They make money by buying the stock at a cheaper price than they sell it. Nobody really loses except the day trader when the stock goes in the other direction.
This investment system has made us the most wealthy country in the world. The only people who don't benefit from it are people like you who freely decided not to participate, and instead, complain because companies just don't send you money for no reason in the mail.
