News for hackers. Stuff that matters.

A comment on The Long-Term Stock Exchange Opens for Business. Parent comment

Re:The Long-Term Stock Exchange Opens for Business by nicoburns on Wednesday September 09, 2020 @10:29AM (#24421372)
> On the other hand, short-term shareholders, inasmuch as they prefer returned capital, are then freed to invest in other businesses.

I'm not sure that's a benefit if they then destroy those businesses too.

[ Parent | on HN ]
Re:The Long-Term Stock Exchange Opens for Business by ethbr0 on Wednesday September 09, 2020 @02:01PM (#24423847)
Not all businesses are productive. Look at a few decades of Japanese economic history.

If capital is tied up in a failing business that's pursuing a "long term strategy," then it's not freed for new businesses.

SpaceX and Tesla (to name two HN faves) probably wouldn't exist had PayPal retained more of its capital.

[ Parent | on HN ]