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Would Wall Street Exist in a Free Society?

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limitgov Posted: Sun, Feb 6 2011 7:32 PM

Lets say freedom spread like wildfire...and we started getting rid of government on all levels....free society...

would wall street still exist?

Gordon Geckko wants to know

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At some point it probably would exist.

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I would say no.  Not nearly to the extent is does today.  If it did, it would only be temporary, because there would be no govt to perpetuate it.

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Esuric replied on Sun, Feb 6 2011 7:49 PM

Yes, of course it would. The valuation of capital is extremely essential to any functional economic system. It wouldn't be nearly as lucrative as it is now, but that's another matter altogether.

"If we wish to preserve a free society, it is essential that we recognize that the desirability of a particular object is not sufficient justification for the use of coercion."

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John Q replied on Sun, Feb 6 2011 7:52 PM

Esuric:

Yes, of course it would. The valuation of capital is extremely essential to any functional economic system. It wouldn't be nearly as lucrative as it is now, but that's another matter altogether.

 

I agree. I believe the question needs re-phrased due to the tacit assumptions it makes in its current form.

"I would rather be exposed to the inconveniences attending too much liberty than to those attending too small a degree of it" - Thomas Jefferson.

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Nielsio replied on Sun, Feb 6 2011 8:08 PM

You can't know what street names people will use in the future.

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Would "Wall Street" exist... Probably. But I have a feeling that trading stocks, bonds, etc. would be much more decentralized in a free society.

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Can you guys elaborate on why Wall Street would be reduced or eliminated in a free society?

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"You can't know what street names people will use in the future."

lol....+1

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Mises considered the stock market to be the key difference between a socialist and a market economy.

It is true that the modern stock market is artificially constrained by the State, and channeled into Wall Street investment firms.

I will break in the doors of hell and smash the bolts; there will be confusion of people, those above with those from the lower depths. I shall bring up the dead to eat food like the living; and the hosts of dead will outnumber the living.
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eliotn replied on Sun, Feb 6 2011 9:38 PM

"Can you guys elaborate on why Wall Street would be reduced or eliminated in a free society?"

It could be reduced because people compete and provide other places to trade investments.  Or people don't use a centralized place for trading investments.

Schools are labour camps.

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Merlin replied on Mon, Feb 7 2011 1:29 AM

"Wall street" originated in the freest market of its time, hence sure it would axist, and indeed grow, under anarchy.

The Regression theorem is a memetic equivalent of the Theory of Evolution. To say that the former precludes the free emergence of fiat currencies makes no more sense that to hold that the latter precludes the natural emergence of multicellular organisms.
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We've never had a free market in the u.s.

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filc replied on Mon, Feb 7 2011 3:17 PM

limitgov:

"You can't know what street names people will use in the future."

lol....+1

We may not have streets! Wall Hoverblock here we come! WallPlanet!

I am not convinced that stock markets would be less centralized. Especially given our continued improved ability to communicate. I do however not expect it to be centrally managed, from a single beuracratic entity. It may function more like organizations such as IETF, or IEEE.

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What exactly do you mean by "Wall Street"? I'd say that stock trading would surely exist in a free society, although it might be different in some ways from how it is today.

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Non parit potestas ipsius auctoritatem.

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