By Matt Benjamin Earlier this month, I wrote about how “animal spirits” – the inherent human proclivity to optimism and risk-taking – can drive economic activity and push the stock market higher.
Consumers and investors demonstrate their animal spirits by spending and investing. Businesses express theirs by expanding operations.
And initial public offerings, or IPOs, are a great way to measure the level of animal spirits that businesses and entrepreneurs are feeling.
When a privately held company decides to go public, it’s a strong statement about its vision of the future. It means the company’s management believes it can expand the business, and so it decides …read more
