5 lines
610 B
Markdown
5 lines
610 B
Markdown
# Greater Fool Theory
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The greater fool theory is a thesis in economics that market participants can sometimes profit from the purchase (i.e. [speculation](speculation.md)) of overvalued assets , assets whose [market-value](market-value.md) drastically exceeding their [fundamental-value](fundamental-value.md) , if those assets can later be resold at an even higher price to another market participant who makes the same assumption and so on ad infinitum.
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The greater fool theory presumes an infinite chain of fools in order for all participants to "make it" or profit from the [bubble](bubble.md). |