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Pastimes : Clown-Free Zone... sorry, no clowns allowed
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To: pater tenebrarum who wrote (96500)4/19/2001 8:11:57 PM
From: a.m. fisher  Read Replies (1) of 436258
 
yes, it is obvious that the allocation of capital wasn't very wise. so it goes ... markets evolve.

this past decade's capital expenditures by telecom companies was the largest capital expenditure in history for a non-monopolized industry. non-monopolized means there are no fixed prices and no guaranteed return on capital. with easy access to capital and the need to keep up with competition it's no wonder telecom companies spent and spent. while it hasn't proved to be the smartest strategy, it was not an "egregious" misallocation of capital.
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