> Capital values are, at least in part, subjective. Revaluations
> do not come instantaneously. They come about via competition.
> Here is an example: my wife's best friend has a print shop with
> outdated equipment. It is failing. It has a negative profit.
> Should she shut down their business? So far, they are convinced
> that "things will turn around." I think that she is typical in
> that respect. They hope to hang on, somehow believing that their
> investment still has value. It does not.
But Mike, if you _know_ this, then presumably "the market" does too,
and thus the capital's value is not subjective, contrary to
suggestion--no matter what the present delusions of the current
owners.
Gil