[FoRK] Private equity, venture capital, entrepreneurs, and tax policy

[Jeff Bone]

On May 6, 2008, at 12:58 PM, Kevin Elliott wrote:
>
> On May 6, 2008, at 10:30 AM, geege schuman wrote:
>
>> On Tue, May 6, 2008 at 11:17 AM, Jeff Bone <jbone at place.org> wrote:
>>
>> <That's what the long-term cap gains rate is *for* --- to encourage
>> long-term investment and reward the greater degree of risk  
>> associated with
>> it.>
>>
>> Long term is MORE risky?  We reward RISK?
>
> Risk was a poor choice of words on Jeff's part.

I disagree.  Risk is precisely the term-of-art I intended, and that's  
appropriate for the specific quantity in question.  (The major trade  
rag in my industry is called, you got it, Risk.)

(PS Geege, please don't make me repost a substantial part of that OL  
message;  you understood the part about area-under-the-price-curve,  
right?  The shorter term the trading activity, the lower the risk and  
the higher the amount of total available profit captured.  This is the  
opposite end of that spectrum;  longer-term = higher risk.)

jb