Is the stock market a zero-sum game?

No, the stock market is not inherently a zero-sum game. Unlike traditional zero-sum games where one participant's gain equals another's loss, the stock market involves buying ownership in companies that can grow and generate value over time. As companies expand and innovate, their value increases, leading to gains for investors. While there are winners and losers in specific trades, the overall growth of the economy and the companies within it can lead to collective wealth creation. Additionally, dividends and capital appreciation can result in positive outcomes for investors beyond a simple zero-sum framework. read less