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by state_less
3476 days ago
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> It is not morally wrong ("greedy") for investors to seek high returns. If an investment does offer high returns, investors will flock to it, the price will increase, and it will quickly offer average returns, relative to the amount invested. Companies ask governments for favors all the time. The Carrier deal is a widely viewed example. If you do x, Carrier will invest in your state. Sometimes the investment isn't even open for the public to take advantage of. In other words, a single hyper-wealthy person can have his/her agents lobby for their own personal benefit. > Nor do investors "demand" high returns - who would they demand them from? - they simply look for the best place to put their money. Investors are not a cartel that lobbies the government. Government services were privatised in the UK for political reasons. They lobby the government, or whomever has the power to grant them the higher returns. Sometimes that means displacing the local population, for example poor oil rich countries. Maybe you are thinking about the small investor. Someone who is passive and without the power to change the playing field? |
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