It was argued recently in this community that the further one leaned twards the left, Politically, the less one understood the ' realities' of economics
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What if the workers want to sell their stock? Or if the company needs to raise say $200 million, and doesn't employ workers with that kind of money?
When stocks are being invested in by people who want to own part of a company, the stock market is perfectly fine. Where it goes wrong is when you pour trillions into funds from people who don't care where it goes as long as they get a fast return, controlled by managers who don't care about what a company does or how its run so long as the short term profit meets forecasts so they get their management bonus.
Every traded company I've worked for has had an "employee stock purchase program" - basically you put a bit of your paycheck away every month, and at the end of the year, they calculate the lowest sustained average price (lowest 2-week average) and sell you stock based on that. So if you have $200 saved and the stock was $5 a share at its lowest two-week average, you'd get 40 shares.
giving the workers a stake in the company was tried in the 1930s. It was destroyed by the unions who feared it would ruin the workers right to industrial action etc (feared it would ruin the union barons jobs more like)
To be fair, that was said by Steve. Steve has yet to aquaint himself with the 'realities' of reality.
If the right actually understood economics, they wouldn't keep pushing the war on drugs as an even remotely viable strategy for accomplishing anything except improving the economic standing of criminals.
We don't need a stock market, it's just an effective way of allocating capital. It lets a whole bunch of people try to figure out where money will generate the best return. Okay, it's usually very one dimensional in how it measures the return, but there's some advantages to that as well.
Investing in the company you work for is a very bad idea. If the company hits a tough spot, you're likely to lost both your job and money at the same time.
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Don't make me laugh.
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If companies do this already, why are stock exchanges still needed?
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When stocks are being invested in by people who want to own part of a company, the stock market is perfectly fine. Where it goes wrong is when you pour trillions into funds from people who don't care where it goes as long as they get a fast return, controlled by managers who don't care about what a company does or how its run so long as the short term profit meets forecasts so they get their management bonus.
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If the right actually understood economics, they wouldn't keep pushing the war on drugs as an even remotely viable strategy for accomplishing anything except improving the economic standing of criminals.
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Investing in the company you work for is a very bad idea. If the company hits a tough spot, you're likely to lost both your job and money at the same time.
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