Investor dollars are not kept in a giant vault, but they are also not necessarily "being put to use the U.S. economy." If I buy $1000 of Microsoft stock, Microsoft doesn't suddenly have $1000 more to fund their projects. Some other investor gets it because he sold, and he's not necessarily putting that money to actual use either. It's all just numbers getting updated in a giant database somewhere, over and over until someone cashes out and actually spends that money to buy groceries or something. I guess some might consider those database updates and the growth itself to be "put to use" but I don't.
That's fine. Let's assume that the money is simply stored somewhere as numbers in a database. It would be irresponsible for them not to at least put into some sort of savings account or money market getting interest rate. That interest is generated by people borrowing against it, is it not?
Realistically large companies don't do this. They put their money in hedge funds, which are much less risk averse, which would assume that they are more actively putting the money into the economy.
> It's all just numbers getting updated in a giant database somewhere, over and over until someone cashes out and actually spends that money to buy groceries or something.
send me your numbers then edgelord... o wait theyre not just numbers now that Ive asked for some. Go read up on futures markets - they were invented to service a legitimate, real world problem - yes deriviative markets of today have become abstract but its no as black and white as capitalists vs us.
