A High Word-to-Fallacy Ratio, Indeed
“What kind of society gives that kind of money to people who produce … nothing?”
–Chris Matthews, April 1, on the record 2009 salaries of hedge-fund executives
And what kind of society pays Chris Matthews all that money say totally ignorant things on television every night? (I’m assuming I don’t have to comment on Matthews’s premise that “society gives” money to hedge-fund managers.)
For some actual information on the subject, see Warren Gibson’s Freeman article “The Mystique of Hedge Funds.” Here’s a teaser:
As long as there is no fraud, hedge funds, like other market participants, produce social benefits. They provide market liquidity, the lubrication that makes markets work well. Successful funds help move capital to where it is most needed and help move prices in anticipation of future events. Unsuccessful funds go out of business sooner or later, and investors in failed funds learn to be more careful about whom they select to handle their money.
Pingback by Williamsburg Strength and Conditioning - CrossFit 1776 - Athlete Training Williamsburg VA » Cleans, deadlifts more fallacies and our friend Helen! on 2 April 2010:
[...] A High Word-to-Fallacy Ratio, Indeed by Sheldon Richmond [...]
Comment by RickC on 2 April 2010:
Until I got to “hedge-fund executives” I thought he was talking about politicians. What a let down.
Comment by Speedmaster on 5 April 2010:
GREAT catch! I commented on it here.
http://bit.ly/asptr3
Comment by Tom A on 8 April 2010:
Until I got to “hedge fund executives” I thought he was talking about welfare recipients.