Wednesday, August 6, 2008

Market: Voting machine as well as Weighing machine

...in the short term, the market is a 'voting' machine (whereon countless individuals register choices that are product partly of reason and partly of emotion), however in the long-term, the market is a 'weighing' machine (on which the value of each issue (business) is recorded by an exact and impersonal mechanism).

- Benjamin Graham

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