The reason is simple. We have the right to a price investigation of cheap stocks and expensive stocks. Without efficient shorting rules we are beholden to long only views. It was a thorough investigation and shorting of Enron which exposed the companies true nature. The buy buy crowd of Enron were committing theft. Analysis of company announcements also shows unreasonable bias and an understated risk. We need the sellers movements and OBJECTIVE analysis to expose those distortions
Shorters are also exposed to unlimited loss so the risk they are exposed to is much worse than true long. Its far from the easy money many imagine. Lastly we have all benefited under managed super funds by A/ Loaning our stock at interest to shorters and B. hedging/mitigating our risk by writing puts
