Quote:
Originally Posted by sugarpop
Speculating involves people selling stocks based on what they will be worth in the future, not what their actual current value is.
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That's why so many are now buying Ford stock.
It is not the speculating. It was intentional fraud. Enron accounting is alive in other companies.
Investment is speculation. You invest because the company may be providing innovation to mankind. Enron was not about speculating. Enron was about intentional fraud because profits - not the product - are only important.
Enron story is classic when people think the purpose of any company is only its profits. Enron and their peers even created a mythical CA energy crisis - and of course got away with it. That also justifies Enron accounting.