Boo! Is the Economy an Illusion? Is it Going to Ghost Us?

First, a little economic philosophy. Stocks have value only because they represent ownership in the underlying business. The business only has value if it is generating or ultimately will generate free cash flow. This simply means that your ownership of said stock is a call option on cash generated by the business, now and in the future. I think it’s obvious to most that if a business is generating free cash flow, or money that doesn’t have to be used for unavoidable expenses, then that business has some value to the owners (i.e. stock holders). If the business is losing money on every dollar spent and doesn’t have any hope of changing it’s prospects, then that business is probably worth nothing and will go bankrupt eventually. <a href="https://medium.com/@robertskulman/boo-is-the-economy-an-illusion-is-it-going-to-ghost-us-51f48cd25dc4">Read More</a>