April 28, 2008
Is Short-Selling Actually Bad?
Posted by David Zaring
After the SEC went after a short seller for spreading false rumors - unprecedented, apparently - it's worth looking to see if economists, the lonely defenders of the shorts, are still on board. Maybe not, at least not in every case, such as if damage to the stock price might deter the firm from useful, announced plans. Here's a blog post, here's a story, and here's the paper, written in part by, I must note, a colleague of mine.
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