Quote:
Originally Posted by bk400
I think the market cap concept is useful in making precisely the point that I think Jonah was making.
To make his point slightly differently, would someone pay around $500k to buy the entire known market of 1952 Aaron Clowns postcards?
How does this compare with what it would cost to buy the entire known market of 1914 Ruths? Isn't one strikingly low compared to the other? Doesn't that imply that one might be undervalued relative to the other?
|
Not really, at least to my mind.
As Adam mentioned, demand is the name of the game. Lots of obscure stuff that is incredibly rare, yet the demand isn’t there to push the price higher. Potential buyers definitely look at the price to buy a single card and compare it to buy the price of another card that captures their fancy. There’s no way that they care about what the total market cap is when evaluating whether they like deal #1 or deal #2 better.
The Aaron postcard is definitely a beautiful and great piece. And any of us would love to have it. So congrats to Jonah for picking it up, loving it and enjoying it for a long, long time. But it’s hard to imagine that the market cap for the postcard should in any way approximate the market cap for the rookie.