[MoomerLoom]

Greenhorn about private equity/microeconomics here, do PE firms ever have a noble goal in mind of creating a stronger company or do most of them just roll-up and mark-up companies to the next highest bidder, regardless of the health of the company or whether it is even worth that much? Housing already seems troublesome as a late millenial/old zoomer.

[jeffreyrogers]

I have a few acquaintances in PE and my impression from them is that they are only interested in making a high ROI. It's a game for them. Sometimes on HN and elsewhere you get people saying how evil or malicious these people are. I don't think that's accurate at all. They just aren't focused on the second-order effects of their industry. In any case, the real problems are with the owners of these firms and with the politicians and regulators who are creating the incentives these firms respond to.

[clairity]

> "Sometimes on HN and elsewhere you get people saying how evil or malicious these people are."

you're making a fundamental attribution error. few people say that people in PE are evil. most criticisms are leveled at the industry, its ruthless practices, and the willful ignorance of widespread harms while chasing marginal dollars to stuff in already abundant bank accounts.

[jeffreyrogers]

I'm not making an attribution error. Both things happen.