The thing to keep in mind is that the price of a particular stock has nothing at all to do with the economy or the profitability of that company, and has everything to do with the popularity of that particular stock. It’s all strictly supply and demand. At some point, there will be an adjustment. But for the long term, it is the best deal going.
That’s a really clear-eyed way of looking at it.
And again, I appreciate it.
Still, it seems to me what we are saying is that we are not investing at all, but rather placing bets on or against (as the book says) extraordinary popular delusions and the madness of crowds.
I don’t have the nerve for it, nor the background.
But your description puts into words for me what I’ve seen while watching and reading the financial news.
Thanks once more.