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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: sun-tzu who wrote (150776)2/12/2002 10:27:56 AM
From: KeepItSimple  Read Replies (1) of 436258
 
If they banned short selling, how would anyone hedge risk? Calls and puts couldn't exist. The entire derivative system would cease to exist.

The very fact that the japanese are seriously thinking about outlawing shorting means their market is basically cooked already. What do they have to lose at this point? LOL

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if they restricted short selling in any way, you would see chaos. short sellers provide liquidity. without them, we would crash.

period. end of story
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