The practice of recent times tells us that this is not so. Larry Ellison spoke with conviction. All up or all down. All seem to be very efficient or the opposite. The most negative of all this, is that the variables are enormous. Losses in value, reaching figures that do not represent the reality of some companies. For even more opinions, read materials from Scott Mead. Already its history, its positioning in the market, their assets, their products has no importance. Rumors of dubious origins and intentions, run like wildfire and just the positive announcement of a single firm or financial institution, important though it is, becomes cascade that pushes the rest in the world.
The so-called capital swallows, are also major actors in this dangerous game. They are so called because they move in flocks from one side to another. The minor Stampede, huyen despavoridas darkening the sky, unbalancing markets and destabilising countries and even continents. This situation may not think in solving this crisis and, what is more important to avoid others, if before is not taken conscience, that the stock markets are seriously contaminated of practices, which are only useful to large speculators. Thus, ending by distorting the nature and the purpose for which they were created.
Confuse freedom of markets with debauchery, is to leave millions of small savers, at the mercy of unscrupulous capitalists. These, take the opportunities that are presented to them or with their power create them, no matter to whom or who are harmful. Globalization, can have their virtues, but also, it can become an instrument that used maliciously, produce very negative consequence. Political leaders have the power and the ability to cover those issues with decision, creating the regulatory framework, that highlight the virtues of the system, and also, eliminate or minimize the defects of the same. In this way, build a stable platform, where capital can be used for productive purposes, and have the adequate protection that avoid losses of value for unjustified reasons.