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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Don Lloyd who wrote (76335)	2/20/2000 9:45:00 PM
From: Michael Bakunin	Read Replies (1) \| Respond to of 132070

Well, heck. He did write it out in a different column, which I can't find. See this thirdhand report of same: csf.colorado.edu -mb

To: Don Lloyd who wrote (76335)	2/21/2000 4:48:00 PM
From: Freedom Fighter	Respond to of 132070

Don, I have an insight into the issue of whether the public is a net seller of stock. I think you have to separate two issues: 1. number of shares 2. amount of money I think all the reports of net public selling are based on shares and not money. Here's how it works. According to Flow of Funds reports corporations and foreigners as a group are both net buyers of shares. The public is a net seller. Corporations over the last few years have in fact been retiring more shares than they have been issuing. (I haven't seen very recent data though) However, that does not mean that the public is cashing in its chips as is commonly interpreted. What they are doing is recycling the sales proceeds plus incremental money into the remaining shares at ever higher prices. So everyone is a buyer in dollar terms. The process is kind of a flow of money. The shares are just constantly shifting hands at ever higher prices with the net effect of some being retired by corporations and others accumulated by foreigners. Wayne