Stock buybacks are dangerous for the economy

Re:Stock buybacks are dangerous for the economy by thorwasdfasdf on Tuesday March 17, 2020 @04:28PM (#22609956)

i agree with that, if it were determined by market forces. But, when the feds of the world are subsidizing low rates and flooding printing money to buy up bonds, that's not the workings of supply and demand.

I mean, it's like if you have a bananna stand, and the gov prints billions of dollars to buy banannas on the open market, and now you have to sell your bananas for 5c a piece.

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Re:Stock buybacks are dangerous for the economy by QuesnayJr on Tuesday March 17, 2020 @04:43PM (#22610168)

If the government printed billions of dollars to buy bananas, it would show up in prices all around the economy as the money circulated.

At full employment -- which we were at up until a week ago -- the only thing flooding the market with money can do is cause inflation. We didn't have an inflation, and interest rates were still incredibly low.

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