January 10th, 2002
Book Review from Salon of Dot.con: The Greatest Story Ever Sold:
Once it became possible to float a profitless company on the NASDAQ and, with the proceeds, buy your way to respectability (as AOL did most spectacularly in its purchase of Time Warner), you might feel like a loser for not trying yourself. This dread of being left out, the rise of online trading — especially day trading — and “The Greater Fool theory of investment,” Cassidy contends, became the essential drivers of dot-com mania. (The “greater fool” theory of investments holds that what matters is not the earnings, or performance, of the company you hold stock in, but simply that you can resell its stock to a sucker for a more ridiculous markup than you paid).
Looks worth looking at.