Ch. 6
What is the economic concept is often considered dangerous, but Ken argues it can actually signal market strength?
Debt
Ken challenges the belief that large government deficits always lead to what economic outcome?
Recession or Economic Collapse
According to Ken, What fundamental principle explains all stock price movements?
Supply and Demand
In an acquisition, what type of deal increases supply of shares and can hurt existing shareholders?
A stock deal
Ken says that rising national debt levels often coincide with which type of market trend?
Bull Market
Which type of acquisition can mislead investors into thinking growth is happening, when it is actually causing dilution?
Stock-based merger
Ken warns that even smart investors can misjudge what key force that actually drives price movements?
Investor Demand
Ken favors which type of acquisition deals?
Cash Deals
Investors often ignore the impact of which force when they are over-focused on quarterly reports and balance sheets?
Investor psychology
Contrary to popular belief, Ken argues that which type of government financial tool isn't inherently harmful to long term investors?
Deficit Spending
People's fear of rising debt is often driven more by what than actual market data?
Emotion (or Media-fueled panic)
Ken explains that what investors feel about a company matters less than which economic force?
The actual demand for the stock
Which number is misleading unless considered alongside GDP and context?
National Debt Total
Which ratio is overhyped and doesn't predict market crashes?
Debt-to-GDP Ratio
What invisible force (not earnings) set a stocks real-time price?
Marginal Demand