The Philosophy of the Stock Market

Once upon a time in a village, a man appeared who announced to the villagers that he would buy monkeys for Ksh 10. The villagers, seeing that there were many monkeys, went out in the forest and started catching them. The man bought thousands at Ksh 10 and as supply started to diminish and villagers started to stop their effort, he announced that now he would buy at Ksh 20.

This renewed the efforts of the villagers and they started catching moneys again. Soon the supply diminished even further and people started going back to their farms. The offer rate increased to Ksh 25 and the supply of monkeys became scarce such that that it was an effort to even see a monkey let alone catch it. The man now announced that he would buy monkeys at Ksh 50!



However, since he had to go to the city on some business, his assistant would now buy on behalf of the man. In the absence of the man, the assistant told the villagers, "Look at all these monkeys in the big cage that the man has collected. I will sell them to you at Ksh 35 and when the man comes back, you can sell it to him for Ksh 50." The villagers queued up with ALL their savings to buy the monkeys.

After that, nobody found that man and that assistant, only monkeys and monkeys and monkeys…


Happy Valentines week, you monkeys!!!!