hedge funds manipulate stock in secret, page-86

Red,

Have enjoyed your posts and the debate they caused. In thinking through this it seems that one issue may be whether effective shorting enhances a fall which was always going to happen, or is simply market manipulation which later reverses.

It is worth considering the plight of those who have sold stocks on margin call. If the shorters have recognised and enhanced a fall - then the margin sellers may in fact be better off than had they been able to hold. If however the shorters are causing an "artificial" drop in price then they are causing serious damage to those who sell out when it wasn't necessary.

Comes down to the question as to whether the market fluctuations caused are actually in line with the longer term move or whether they are "market failures" like those caused by mis-information. Your thoughts?
Regards
Alf