When would he start to fall? Maybe never. Maybe he’d just float. Corners of the balloon had crumpled, but he didn’t look at them, and he shut his eyes to sleep. He’d wake up, hopefully, without puke on his face. He’d wake up in the air, alive. Arms loose as wings.” —To your thirties, dear sister.
John Cassidy in The New Yorker. He sort of addresses the big and questionable assumption at the heart of this sentence — that IPOs are about rewarding innovators and early investors — later in the piece, but this still rubbed me the wrong way. IPOs are now about extracting wealth out of a company instead of putting wealth in. This is the problem here, right?
Somehow, in all the media hype surround this stupid fucking IPO everyone forgot that Facebook didn’t need the capital for expansion, but had been sort of forced into the public offering due to SEC regulations (amended now by the JOBS Act). And after forgetting that, everyone was so stoked on the $38 price tag that they forgot that anyone not stuffed to the gills with social media kool-aid thought its market valuation was insanely high.
This IPO could be about nothing other than extracting wealth out of the company for early investors, because that’s what tech IPOs are like — but that’s not what capital markets are supposed to be for. I mean, right?
Two great economists cross paths:
RONALD COASE: I can tell you—I was helping when Britain was trying to get a loan from the United States immediately after the war, and I was talking to one of Keynes’s assistants. And Keynes came in the room and walked over to us and the man I was talking to us said, “This is Coase, who is helping us with the statistics. I don’t think you know him.” And Keynes said, “No, I don’t.” And walked off. And that’s my life with Keynes.
Thank you for speaking with me several weeks ago and providing the helpful links below. I sent a request for a verification in lieu of a certified copy of President Obama’s birth record to the Dept. of Health on March 30th. I was just wondering if you knew whether the request was received and how long it usually takes to process? Thanx.” —