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Re: Toppcats post# 10601

Sunday, 04/17/2005 1:30:59 PM

Sunday, April 17, 2005 1:30:59 PM

Post# of 52118
Toppcats:

Can't seem to rap my head around the idea of a split creating liquidity. 1 share of abc = $9 / split 3 for 1 / 1 share = $3

Two thoughts however:

#1 A chicken lays a renewable source of food...the longer I own the chicken the more value I have added to the world [still the money to buy the eggs has to come from somewhere]

Dividends paid on a stock would also add liquidity to the system [wouldn't it?]

At any rate it seems obvious to be that world net worth is greater than say 200 years ago. Gotta be a Plus Sum game.

#2 We come into the world [the game] with nothing [maybe a little hair, and no teeth] we use what is here [belongs to the owner of the game] and leave the same way. Zero Sum Game




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