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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: re3 who wrote (10210)	6/4/1999 10:33:00 AM
From: Ron Dior	Read Replies (1) \| Respond to of 29970

I would like to tell a story about a large company: Once upon a time there was a very large and profitable company(U.S. Economy) with a very fickle boss (Greenspan). One day this boss (Greenspan) after long consideration decides that his workers (investors) are not doing exactly what they should! He feels that they are putting to much effort in the wrong direction (irrational exuberance) and will hurt the company. In order to stop this activity the boss (Greenspan) threatens to fire some workers (investors). Though this makes them very nervous, before long they are back to their old tricks (irrational exuberance). Ultimately, this threat doesn't go very far. The workers (investors) feel that the company (U.S. Economy) is making much money and they are to valuable to let go, so they do not change their activities (irrational exuberance). The boss (Greenspan) now gets angry and decides that he needs to take action, so he sends out pink slips (raising interest rates) to .25% of the workers (invesotrs). This sends them into a panic and they decide that they need to do what the boss says (Basic market sell off)! But after very long once again they become complacent figuring that the company (U.S. Economy) is making a lot of money again and the boss (Greenspan) would never let anyone else go (raise interest rates again) so they just go back to there old way of working (Market rallies viciously)! This infuriates the boss (Greenspan) once again so he decides to fire another .25% of the workers (investors). This causes another HUGE panic (selloff) and the workers (investors) really make sure that they do exactly what the boss (Greenspan) wants. The problem now exists though, that the workers (investors) were not as bad as the boss (Greenspan)had thought. The boss (Greenspan) has fired so many workers now, that the companies productivity (Stock Market)is now suffering! The workers (investors) also realize that the boss (Greenspan) now has his hands tied. He can't possibly fire anyone else. The workers (investors) immediately go back to their old ways (irrational exuberance) and the situation is right back were it started! In the end nothing was accomplished and the company (Economy) suffered. And everyone lived happily ever after..... The end Hope all liked my story.. Ron Dior