The key point is that no matter how knowledgeable an expert may be, his interests are not necessarily aligned with yours. Therefore he may or may not tell you what you really need or ought to know. Also, he is likely to say the things which are in his own best interests to say.
It doesn't mean that all experts are always out to deceive or mislead you. It does mean that whenever you come across any expert providing his views or opinions, you should take a moment to consider his possible motivations in providing such views or opinions.
A case study below. Suppose you are a property developer, with many units left to sell. Further suppose that it is suspected that a property bubble might be forming. Is it in your own personal interests to say that there is a bubble forming ... or that there isn't?
July 31, 2009Meanwhile the TODAY newspaper reports that yesterday, at a showflat in Tanah Merah, hundreds of people showed up yesterday and started queueing to get in - even though the showflat was supposed to open only today.
No property bubble forming
They say buying frenzy hasn't reached point where Govt needs to intervene
By Joyce Teo
PROPERTY developers are enjoying the surge in interest from buyers but they do not believe that speculation has reached a stage where the Government needs to step in.
They also maintain that the prevailing economic conditions will begin to cool the buying frenzy and stop a bubble forming in its tracks.
'It's not a bubble, it's just a blister after the pain we experienced in the global financial crisis and it comes before a recovery,' said Cushman and Wakefield managing director Donald Han.
So the developer TID opened the showflat last night at 8 pm. It started sales by open ballot sometime after 11 pm. The balloting carried on "well into the wee hours of the morning" - we assume this must be 1 am or 2 am.
Bubble or not? Hmmmm ....
A late night property ballot ... is this a sign of the times?
Jul 31, 2009
The showflat was only due to open today.
But on Monday, some, mostly property agents, were already lining up for units at the Optima condominium at Tanah Merah. They went home after developer TID made it clear the queue would not be recognised.
However, this did not stop hundreds from turning up early yesterday - leading to a massive queue and the occasional ugly spat over queue-jumping. The result? TID decided, at about 8pm, to open the showflat doors and, unusually, kick off open balloting.
The process began after 11pm last night and carried on well into the wee hours of the morning. Successful applicants paid the 5-per-cent deposit on the spot.