RT @inequalityorg
Companies don’t get better because of buybacks. Shareholders only get richer.
From @rbreich @commondreams:
https://www.commondreams.org/opinion/buffett-biden-stock-buybacks
@rbreich
To me, *profit* is what a business has left *after* paying operating costs and investing in the business.
If a business has a huge profit, *they're not investing enough in their business*.
So stock buybacks and shareholder dividends are a sign that they're not investing enough in their business.
At least it seems so to me, a former business owner and non-economist.
@dancingtreefrog @rbreich Right. And this is where the tax code we had in the 1950s and 60s would work nicely as intended.
It's interesting to note that this same period was the most prosperous the country has ever seen with the largest middle class and best standard of living.
Then we got lazy and started taking it for granted while the wealthy got busy influencing Congress to change the tax code.
