tag:blogger.com,1999:blog-7464708.post6805531979615931423..comments2024-03-22T06:05:36.544-04:00Comments on Kids Prefer Cheese: Are firms acting irrationally by not investing more?Mungowitzhttp://www.blogger.com/profile/02340064320347875601noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-7464708.post-33682042552739528942013-05-22T01:19:21.346-04:002013-05-22T01:19:21.346-04:00The Humean Theory of Practical Irrationality. Clic...The Humean Theory of Practical <a href="http://www.gofastek.com/fhs/Irrationality/" rel="nofollow">Irrationality</a>. Click www.gofastek.com for more information.<br /><br />Cindy<br />www.gofastek.comCindyhttp://www.gofastek.comnoreply@blogger.comtag:blogger.com,1999:blog-7464708.post-23769648809456743472011-10-10T17:56:30.591-04:002011-10-10T17:56:30.591-04:00"I also do not buy the idea that companies ne..."I also do not buy the idea that companies need all this cash for acquisitions. If they really want to buy another business, they can issue stock to do so."<br /><br />Wait, is he saying that he can tell firms are being irrational because the IPO market is frictionless and efficient? I... I don't think that's right.Normanhttps://www.blogger.com/profile/12866136113454261245noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-36686321947548857072011-10-10T11:10:19.449-04:002011-10-10T11:10:19.449-04:00I particularly enjoy this story in light of the No...I particularly enjoy this story in light of the Nobel Prize in Economics announcement this morning.<br /><br />From the Huff Post, no less:<br />http://www.huffingtonpost.com/2011/10/10/nobel-prize-economics-sargent-simms_n_1003025.html?ir=World<br /><br />Sims was asked what he would do with his $750,000 prize money. He said, <b>"First thing I'm gonna do is keep it in cash for a while and think."</b><br /><br />Regime uncertainty? Never!Stevehttps://www.blogger.com/profile/03761394148395414349noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-84553146620596378962011-10-10T10:42:42.497-04:002011-10-10T10:42:42.497-04:00RE: the shareholder part of Thaler's comment a...RE: the shareholder part of Thaler's comment as it intersects with this notion of hubris<br /><br />I would say that: well, if you're a shareholder and you're worried about this (justifiably or not), then sell your shares. <br /><br />Pretty simple. Pretty easy to do in the highly liquid market for shares of companies. Requires absolutely no govt. involvement or coercion. <br /><br />So I guess this means something like: Thaler doesn't believe that the stock market accurate values companies? Yes, hubris indeed.JD Crosshttp://jdcrossevolve.com/noreply@blogger.com