Alright, so we'll grant the government is terrible at capital allocation (because yes, that's the premiss of Cuban's post).
So, what would you do when faced with an investor who's a complete fucking idiot, but can borrow money cheaply?
What is a fail-proof investment plan for this trustifarian?
Why can't we find a plan, or demand that our government do something with this opportunity? There is a hack to be had in here. Who can we trust with this opportunity that the government can farm it out to? What would the terms have to be in order to ensure that the government can make a return?
btw, upvotes for you, thanks for the conversation :)
"So, what would you do when faced with an investor who's a complete fucking idiot, but can borrow money cheaply?"
... tell him not to borrow money?
Is that really such a strange idea?
In fact... how can you seriously entertain any other answer? (In this case, limited to the investor case, not the investor as a standin for the government. This may or may not apply to the government, but what is this metaphor supposed to be proving, anyhow...?)
One of the human irrationalities is a belief that for any set of constraints there must be a solution, but that's not true. An "idiot" investor has no winning solution (virtually by definition in this case), and therefore the answer is not to play. There is no force in the universe that says there must still be a way to invest and prosper anyhow.
So, what would you do when faced with an investor who's a complete fucking idiot, but can borrow money cheaply?
What is a fail-proof investment plan for this trustifarian?
Why can't we find a plan, or demand that our government do something with this opportunity? There is a hack to be had in here. Who can we trust with this opportunity that the government can farm it out to? What would the terms have to be in order to ensure that the government can make a return?
btw, upvotes for you, thanks for the conversation :)