[jstoesz]

correct…I oversimplified, buying stocks only gives companies capital when they issue new shares.

Increased demand for ford stocks increase their market capitalization which will increase their capital raising abilities when they get to issuing new shares down the road (so to speak).

[jstoesz]

correct…I oversimplified, buying stocks only gives companies capital when they issue new shares.

Increased demand for ford stocks increase their market capitalization which will increase their capital raising abilities when they get to issuing new shares down the road (so to speak).

[jstoesz]

definitely true.

To bastardize a great Churchill quote on democracy…

Many forms of (capital allocation) have been tried and will be tried in this world of sin and woe. No one pretends that (the stock market) is perfect or all-wise. Indeed, it has been said that (stock market) is the worst form of (capital allocation) except all those other forms that have been tried from time to time.

[jstoesz]

definitely true.

To bastardize a great Churchill quote on democracy…

Many forms of (capital allocation) have been tried and will be tried in this world of sin and woe. No one pretends that (the stock market) is perfect or all-wise. Indeed, it has been said that (stock market) is the worst form of (capital allocation) except all those other forms that have been tried from time to time.

[jstoesz]

definitely true.

To bastardize a great Churchill quote on democracy…

Many forms of (capital allocation) have been tried and will be tried in this world of sin and woe. No one pretends that (the stock market) is perfect or all-wise. Indeed, it has been said that (stock market) is the worst form of (capital allocation) except all those other forms that have been tried from time to time.

[jstoesz]

definitely true.

To bastardize a great Churchill quote on democracy…

Many forms of (capital allocation) have been tried and will be tried in this world of sin and woe. No one pretends that (the stock market) is perfect or all-wise. Indeed, it has been said that (stock market) is the worst form of (capital allocation) except all those other forms that have been tried from time to time.

[jstoesz]

definitely true.

To bastardize a great Churchill quote on democracy…

Many forms of (capital allocation) have been tried and will be tried in this world of sin and woe. No one pretends that (the stock market) is perfect or all-wise. Indeed, it has been said that (stock market) is the worst form of (capital allocation) except all those other forms that have been tried from time to time.

[jstoesz]

Why would Ford be a publically traded company if not for greater acces to capital?

So yes when you buy a Ford share you are giving them your hard earned money which they in turn put to work investing in harder assets…like robots (or perhaps jobs for the robot company). When you only buy one share you are only contributing a small amount, individually insignificant can quickly become collectively significant.

[jstoesz]

Why would Ford be a publically traded company if not for greater acces to capital?

So yes when you buy a Ford share you are giving them your hard earned money which they in turn put to work investing in harder assets…like robots (or perhaps jobs for the robot company). When you only buy one share you are only contributing a small amount, individually insignificant can quickly become collectively significant.

[jstoesz]

Why would Ford be a publically traded company if not for greater acces to capital?

So yes when you buy a Ford share you are giving them your hard earned money which they in turn put to work investing in harder assets…like robots (or perhaps jobs for the robot company). When you only buy one share you are only contributing a small amount, individually insignificant can quickly become collectively significant.

[jstoesz]

Why would Ford be a publically traded company if not for greater acces to capital?

So yes when you buy a Ford share you are giving them your hard earned money which they in turn put to work investing in harder assets…like robots (or perhaps jobs for the robot company). When you only buy one share you are only contributing a small amount, individually insignificant can quickly become collectively significant.

[jstoesz]

Why would Ford be a publically traded company if not for greater acces to capital?

So yes when you buy a Ford share you are giving them your hard earned money which they in turn put to work investing in harder assets…like robots (or perhaps jobs for the robot company). When you only buy one share you are only contributing a small amount, individually insignificant can quickly become collectively significant.

[jstoesz]

UCGal…you are right. It is fantasy land, but a fun thought experiment none the less.

Eugene,

You do realize that passive income is crucial to a healthy expanding economy? It is not just simply gambling (save commodities), but provides capital to people who have no money but good ideas. Without people making investments (looking for passive income), we would have no economic development. We would have only a fortified wealthy class untouchable by the up and coming innovators. Only in America can you have a good idea with no collateral and have someone lend you millions. Therefore, we should not want to tax either passive income or labor income, but should encourage both.

[jstoesz]

UCGal…you are right. It is fantasy land, but a fun thought experiment none the less.

Eugene,

You do realize that passive income is crucial to a healthy expanding economy? It is not just simply gambling (save commodities), but provides capital to people who have no money but good ideas. Without people making investments (looking for passive income), we would have no economic development. We would have only a fortified wealthy class untouchable by the up and coming innovators. Only in America can you have a good idea with no collateral and have someone lend you millions. Therefore, we should not want to tax either passive income or labor income, but should encourage both.

[jstoesz]

UCGal…you are right. It is fantasy land, but a fun thought experiment none the less.

Eugene,

You do realize that passive income is crucial to a healthy expanding economy? It is not just simply gambling (save commodities), but provides capital to people who have no money but good ideas. Without people making investments (looking for passive income), we would have no economic development. We would have only a fortified wealthy class untouchable by the up and coming innovators. Only in America can you have a good idea with no collateral and have someone lend you millions. Therefore, we should not want to tax either passive income or labor income, but should encourage both.

[Author]

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