O'Reilly logo

Buy, Lie, and Sell High: How Investors Lost Out on Enron and the Internet Bubble by D. Quinn Mills

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

Why the Huge Valuations for Internet Companies?

People who have an interest in driving up the prices of stocks understand that financial value cannot be made to exceed economic value for very long. Generally, accurate information about the company will emerge, its economic value can then be determined, and if the share price is too high, it will fall. Hence, to get and hold a financial price, it must be made to appear that the economic price is at that level. To inflate financial value over real value requires that real value be measured as more than it is, and there are often imaginative schemes to achieve this. In fact, this is a frequent practice in the capital markets.

For example, during the late 1980s, manufacturers spun off money-losing ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required