This perfectly explains our markets, our (former) big brokerage firms, and our banks!
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Five Fundamental Laws of High Risk Takers, as distorted from Carlo Cipolla.
1.) A person is a High Risk Taker if they cause damage to another person or group of people without experiencing personal gain, or even worse, if they also cause damage to themselves in the process;
2.) The probability that a given person is a High Risk Taker is independent of any other characteristic of that person;
3.) A Low Risk Taker always underestimates the number of High Risk Takers in circulation;
4.) Low Risk Takers always underestimate the harmful potential of High Risk Takers; they constantly forget that regardless of the circumstance, dealing with or associating themselves with High Risk Taking individuals is a costly error;
5.) A High Risk Taker is the most dangerous type of person there is.
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This completely explains why we are in the quagmire we are in, why our banks have failed the depositors, and why the market is currently rallying.
This current rally is but a prelude to a very vicious bear trap.
