This story is evidence that even the wise are foolish when it comes to money.  It is possible that Groupon’s growth rate is such that it will easily achieve $25 billion, but it is more likely that it is being overvalued by a market that is once again believing in bubble economics.  As the bubbles of the last 15 years have taught us, even so-called wise men of money are suckers for a good story.  They fall in love with perception and forget reality.  No wonder that smart investors like Warren Buffet stay far away from buying into the next hot IPO.  The prospect of riches distorts thinking.  It is like the unfortunate fools who buy tickets in a lottery.  Their chances of winning are less than getting struck by lightning on a clear day but they hope it happens.  It is hard not to fall in love with an enticing tale.

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