What’s a zero sum game

A zero sum game is a situation where 2 people compete. The won by one side is the lose of the other side. When you add the total gain of one side and substract the total lose of the other, the result will be zero. Since the result is zero, no value was created.

Options and futures are zero sum games because the wining of one investor is the lose of another investor.

The stock market is not a zero sum game. Since the result is not zero, value is created

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