Do investors in the stock market have a beneficial or harmful?
(Do investors in the stock market have a beneficial or harmful effect on the companies whose stocks they buy and sell? Are investors and speculators parasites on the work of others, or are their activities necessary to the system of production?)
Answer :
If investors are acting with goal to invest their capital into production and gain profits as dividends then they are helping to economy. But in case if they are acting as speculators – then it of course has harm-full issues. The problem is – it’s very hard to split them in groups by defining strict boundary between them.
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