How Musicians Increasingly Rely on Stocks and Bonds
The value of a cello or violin can go up or down just like the value of shares in a company. A depends on how the instrument is cared for. If is it mistreated, the value will go down. In addition, if it is treated correctly and cared for the value can go up. Another thing that affects the value of these instruments is the type of wood they are made out of. In order for a cello or violin to be liquidated, there would have to be people who are will to purchases them. As far as shares of stock in a major U.S. corporation, the shares can be liquidated easer, because they are being sold off and people are buying them. When you purchase a cello or violin, you own the instrument, which means you are the only one who has shares in it. When you purchase shares in a company, you are not the only one who has them which can make it easier to sell.
I think a cello or a violin could be ...view middle of the document...
In terms of comparing shares in a cello or any other musical instrument for the matter and shares in a major U.S. corporation, I think that the value in any musical instrument can both increase and decrease over time. There is never a time that shares in a corporation do not have their moments of fluctuation. If you want to be realistic about the value of a cello or violin, as well as a car or computer for example, the value of the object can be determined by the care that is put into it over time. A cello or violin can be valued at a high price if over the years if it is kept in a safe place away from anything that could damage it. On the other hand, if it is left out for liquids to get inside it and for things to scratch it, it will definitely lose value. On the other hand, share in U.S. corporation involves more than one person having access or being involved with the shares, purchasing a house, car, phone service, etc. and of course a unique instrument, you are the only a shareholder. When investing and purchasing shares, stock, or anything valuable , you as a buyer have to make sure that you are making decisions that will benefit you in the best way.
In my opinion, after reading the web page "Who's Who in Bowie Bonds" it appears that the market value of the first Bowie Bonds would more than likely become very valuable because of David Bowie's come back. To me is seems that the value of the bonds would increase with his comeback.
The theory of efficient markets would not apply to the shares of stock in cellos, violins, or rock bands because they are not liquid-able. Rock bands eventually fade out while the cellos and violins depreciate over the life of each instrument. Although these instruments and the rock bands have seen an increase in the sale of shares, it is sometimes very hard to get investors who are willing to invest in either.
The theory of efficient markets cannot apply to shares of stocks in cellos or violins because those are musical instruments and there is no actual exchange for musical instrument although they can be very valuable pieces of antiques. However, shares can be sold from a band and the revenues from CD's sold would be shared among the company, band members and investors.