What is the difference between risk and uncertainty?

Conservatives, if all of that 'uncertainty' prevents people from taking risk with all of that free capital?

  • Could you please explain why up until the oil spike and the fall of the euro the stock market was surging; growing the population of millionaires by 8% last year? Seemed like there was a lot of risk taking going on. So much so that even the volatile stock market was apparently a more attractive bet than simply saving. Could the real problem be that there *is* already plenty of free capital and that there *is* already plenty of incentive to take risks and reap big rewards? Could it simply be...it has nothing to do with creating jobs?

  • Answer:

    I'm not sure what the point is that you're trying to make, and apparently nobody else does either judging by how many people took a stab at answering your question. I dont' know what it is that you do for a living that makes you think you're an expert on the subject, but having worked in the structured cabling / constrution industry for the last 16 years I can tell you that the reality is that business are literally sitting on an unprecidented amount of liquid cash right now. But few are willing to invest it into expansion, more employees, etc etc. Some are slowly starting to come around, but it's NOTHING like it was before. It's much easier to let it cash sit there and collect interest, or to invest it into low risk stocks or bonds, than it is to hire more employees at current profit margins. Sure there are millionnaires made every day in the world. But here in the US, things will never go back to the way they were in 2006/2007 when we had 4.5% unemployment and the fastest growing economy in 25 years. Not as long as the Obama administration continues to spend $1.65 for every $1.00 it takes in, as long as continues to de-value the dollar, and as long as we continue to turn our back on our allies in the middle east. * Yes they are investing and letting their money work for them. But investing money and making more money -vs- hiring employees to increase revenue are two different things.

Matthew D at Yahoo! Answers Visit the source

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