SUBSCRIBERS

 

Advertise with us

Guppytraders.com Pty Ltd

Readers reviews of MARKETS, MOBS & MAYHEM
You can add your review of this book by contacting us . We will then place your review on this page. (You can request to have your name deleted if you wish)

I have always been deeply suspicious of crowds and the way they reduce the individual to a lower intelligence. Perhaps that is why I became a trader with an approach that focuses on understanding the crowd and profiting from their emotional mistakes. This book is an anthology of crowd behaviour, covering markets, panics, fires, lynchings and rumours.


It is a wide ranging collection, loosely tied together with commentary. The examples chosen are powerful examples of the way individuals lose their way in crowds. However the book offers few new insights into crowd behaviour and development. Gustave Le Bons book still provides the essentials, although it is not as easy to read.


The discussion of booms, bubbles and busts drags out all the usual suspects from Tulip Mania to the South Sea Bubble. It’s a good read, but not particularly revealing. It also commits the fundamental mistake that runs through much of the commentary of these events. It assumes that most of the people who participated ended up losing money. A more careful analysis of recent bubbles shows this is not the case. Those who were foolish enough to buy and hold were wiped out and although there is no shortage of these types of fools, there are also many participants who turned their paper profits into fat bank accounts. Markets bubbles provide opportunity rather than a Leeming-like path of total destruction for all.


This book is most timely in a political sense rather than in terms of markets. Fear starts panic in a crowd and they easily trample the political rights and freedoms that distinguish us from the practices of the terrorists. This is the most important information in this book, but it is a reminder of the consequences rather than a study of causes and understanding.

 

Back To Book List

 


View our Privacy and Internet Security Policy            guppytraders.com Pty Ltd, ACN 089 941 560

 

 

 

 

 

 

 

 

 

stockmeetingplace

 

 

 

 

 

 

 

 

 

All Rights Reserved. Copyright Guppytraders.com Pty Ltd, 1996 - 2010.