Step 3

[redbird]

I really don't understand how anyone can claim market capitalism involves rational decisions by people in possession of perfect information. The following is essentially free money (modulo a registered mail fee for depositing the stocks):



<td colspan="2" valign="top" width="100%">

Date	Transaction	Quantity	Symbol	Price	Duration	Instructions	Commission	Total Amount
7/25/05	Sell	12	TZOO	Market	Day	None	$6.95	$373.45

</td></tr>

[All the white space means is that I don't understand the HTML coding for tables well enough to get rid of it.]

Comments

[lynnal.livejournal.com]

I really don't understand how anyone can claim market capitalism involves rational decisions by people in possession of perfect information

Anyone who makes such a claim is confusing economic theory with reality. Economists assume absurd things like that to make the math work, just like chemists talk about ideal gases. Even helium and argon don't quite follow the predictions made for ideal gases, but it helps many people to start from a simple model. Unfortunately, a lot of people who take undergrad economics seem to miss that "this is only a model" footnote. Even in graduate economics they don't talk much about adapting the model to the real world. Maybe they do in the PhD classes. At the masters level they did note just how hard it is to get people to give them good economic information for doing research.