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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Robert Rose who wrote (121896)	3/27/2001 2:26:37 PM
From: GST	Respond to of 164684

Robert: Serious answer. If you can invest in productive assets, this should take priority. (Although there is no strong connection between stock purchase and productive investment -- the linkage is at best indirect.) If the investment proves to be unproductive, and/or if the investment turns out to be a hollow frontier, as for example in an asset bubble, you have a corresponding loss of net worth at some point.... most of us are now experts in this area. The argument for holding savings both individually and as a society is straight forward. If I told you that I was taking a mortgage on my house so I could pay the cost of throwing a big party to impress my friends, buy a new car, and take a vacation (to Hawaii of course) what would you think? If I then told you not to worry because I had taken some of the money from the new mortgage and "invested it" in AMZN, would you then conclude that I have solid financial footing? If on the other hand I told you that I had AMZN stock and a mortgage and I decided to fix my old car, skip a vacation this year and have a pot luck dinner for close friends because I really can't afford these things, and if I also decided to sell half my shares of AMZN and use the money to pay down my mortgage, what would you think? Serious answer.