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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: quasar_1 who wrote (91)10/23/2000 10:56:54 PM
From: PerryA  Read Replies (3) of 74559
 
Once 'wealth' is created it isn't destroyed. Nominal values can fluctuate (markets) but the wealth stays.

I believe you are making the assumption that there is in most companies real indestructable wealth underlying their market valuations. In some cases this is true, but certainly not for the concept stocks -- and that is where the bubble is. Much of that wealth is only an illusion that goes down the drain with the stock price.

PerryA
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