Re:With 61 Seconds in a Minute, Markets Brace for Trouble
by kasey_junk on Monday June 29, 2015 @09:48AM
(#9798011)
> High enough that the firms are at least receiving a normal profit.
As did the system of pit traders that it replaced. The margins and accompanied spreads are lower now than previously.
> no doubt that the extraction of this normal profit has non-neglible deleterious effects on the economy
As with any market activity, it needs to be compared with the benefits it provides.
High enough that the firms are at least receiving a normal profit. And given the opportunity cost that all these smart people incur by working in this industry, this normal profit is rather big, and no doubt that the extraction of this normal profit has non-neglible deleterious effects on the economy.