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To: Ilaine who wrote (7523)	10/3/1998 1:37:00 PM
From: John Dally	Read Replies (1) of 86076

Hi CB, Back to the value discussion . . . Things are worth whatever the market consensus perceives them to be worth. One day the consensus is that LU is worth $95, two months later the consensus is that LU is worth $63. The dollar (i.e. cash value) is just the agreed-to "measuring stick" used to measure the perceived value of things. No money has to change hands for wealth to be lost. For example, one day after the close, company X pre-announces. Without a single dollar changing hands, the stock opens 50% down the next day. What happened? People's perception of what the company is worth changed over night with the new information. Suddenly ALL shareholders are poorer (as measured in dollars, not shares). Where did the money go? There was none. Best regards, John.

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