Re:Abundant Capital
by chii on Monday February 22, 2021 @08:08PM
(#26232730)
> they are willing to invest their assets until the rate of return is also close to zero.
which is how new jobs are created - from this mechanism of investment (and acceptable returns from it). The problem is whether these jobs produce value in the future, at a greater rate than the returns being expected by the owners. If the excess returns are all captured by the owners, society wouldn't have progressed forward. But if these jobs brought more value than just the ROI, then it's a good outcome.
which is how new jobs are created - from this mechanism of investment (and acceptable returns from it). The problem is whether these jobs produce value in the future, at a greater rate than the returns being expected by the owners. If the excess returns are all captured by the owners, society wouldn't have progressed forward. But if these jobs brought more value than just the ROI, then it's a good outcome.