
Are Stock Buybacks Starving the Economy? - paulpauper
https://www.theatlantic.com/business/archive/2018/07/are-stock-buybacks-starving-the-economy/566387/?single_page=true
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sbinthree
The challenge for capital is that growth is very hard to find. Inflation is
>2% while real returns on capital, even risk capital, are around 5%. Is it
really worth going to zero investing in equities for a net return of 3%? Where
is capital to go to get even the amount of returns needed to sustain it (NIRP
bonds, etc.). Growth is the bottleneck, hence the manic interest in start-ups.
Buybacks aren't a bad thing, but it is strange that companies like Apple can't
find any good places to invest. People should save money and companies should
spend it, most of the time we are seeing the opposite.

