zero sum game?????????????

Discussion in 'Trading' started by madmunny, Feb 25, 2006.

  1. dividends are nice, but they are not *the* reason why equities are not zero sum

    even if dividends did not exist - equity market would still not be zero sum. but dividends are a good point, since they are a constant influx of new wealth flowing into the market
     
    #451     Mar 27, 2006
  2. 1000

    1000

    It must be positive sum, everyone who traded YM today won. So YM futures must be positive sum.:)
     
    #452     Mar 27, 2006
  3. it COMES from the process of capitalism

    jeez. this is frigging econ 101. actually, it's even simpler

    look.

    how much wealth is there in the world today?
    how much wealth was there in the world 100 yrs ago?

    is there MORE now?

    of course.

    how much wealth is in the US now?
    100 yrs ago?

    etc.

    economic systems can (and do ) in many cases create wealth

    wealth can be created. some economic systems, can destroy wealth.

    the point is that wealth is not finite. it is increased through invention, innovation, economy of scale, etc.

    this is just exceptionally basic economics.
     
    #453     Mar 27, 2006
  4. 1000

    1000

    You missed Volente_00's point. Jimho, I think the question is where did the money in your pocket come from?

    1. China?

    2. Kim's HP photocopier?

    3. Your photocopier?

    4. It may be growing on a tree in your back garden?

    5. Something a lot more sneeky than you ever imagined?

    6. You split your 5$ and made everyone believe that a little piece of it was just as good as the whole?
     
    #454     Mar 27, 2006
  5. of course it is relevant. wheter it be short or seller, a seller is matched with a buyer. a seller who sells too early incurs opportunity cost, or loss. and don't argue that opportunity cost does not exist. if a man retires at 30 and doesn't work another day, he is losing by not participating and eventually runs out of WEALTH. a pga golfer who is not PARTICIPATING because of injury suffers loss. a football team suffers loss when their starting quarterback is not PARTICIPATING because of injury.

    also, when dividends are distributed, it SUBTRACTS off the stock price.

    Therfore, a stock @$50 with a $1 dividend distribution will trade adjusted @$49.

     
    #455     Mar 27, 2006
  6. it is not relevant to the fact that equity markets are not zero sum and futures markets are.

    it is relevant only in proving you don't understand what the term zero sum means. because IF you think it's relevant, you don't understand what zero sum means.
     
    #456     Mar 27, 2006
  7. omfg...wonder when u'll run out of semen after all this mental masturbation..

    roflmaopimp
     
    #457     Mar 27, 2006
  8. volente_00

    volente_00






    Wealth is not made, it is merely transferred.
    It does not matter if we are talking today, tomorrow or 100 years ago.



    Do you agree that you can only acquire wealth at the expense of others ?
     
    #458     Mar 27, 2006
  9. hans37

    hans37

    ROTFLMAO
     
    #459     Mar 27, 2006
  10. "Wealth is not made, it is merely transferred. "

    ok. i had thought you were ignorant.

    now, i know it.

    if wealth is not made, then where did all the wealth COME FROM? the "wealth fairies"?

    there was the same amount of wealth 3 thousand years ago as there is today? worldwide? amazing. care to compute the average wealth per capita today vs. 3 thousand years ago. heck, 200 yrs ago? all the inventions (harnessed electricity, motor transport, literature, science, medicine, vaccines, hydroponics, botany, etc. etc. etc. ) have done NOTHING to CREATE wealth. riiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiight. you can't "transfer" what doesn't exist. if you TRULY don't understand that mass wealth has been (and is being created) you truly are a man completely 100% ignorant of the most basic concepts of human society. i feel badly for you. really/

    some people are truly amazing. a billion points of data cannot wrest their petty prejudices out of their small minds.

    if you REALLY believe this, then you are truly ignorant.

    and this is a very very very rare thing.
     
    #460     Mar 27, 2006