By James C. Benerofe
It is time to stop the financial nonsense. The stock market seesaw is helping to drive the economy into a ditch filled with financial quicksand. The first thing we need to do is stop day trading. For at least the next year, all stock investments in the stock market would have to be held for six months before they could be sold (no exceptions!!!). Buying stock would clearly become an investment not a gamble or a speculation. Investors would be a lot more careful about where they were putting their money. Companies would be a lot more careful with information they were putting out to potential investors about their company. Most of all, this action would stabilize the stock market. It would give companies a source of capital for a period of time to straighten out problems.
The stock market is vehicle for investing capital over a period of time, to hopefully generate a reasonably steady return on your investment or reasonably steady capital appreciation . It is not vehicle for becoming an instant millionaire—though it can happen– it is not an intelligent way to make careful investments. The stock market has been turned into a financial roller coaster filled with investment gimmicks. This is one of the major reasons for our lousy economic situation.