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by oh_sigh 868 days ago
I have a foolproof plan to deplete the wealth of the American oligarchs: stop coveting what they have. Bezos is super rich not because he has a huge pile of cash, but because he owns a slice of Amazon. If people just refused to buy his stock, the price would drop immensely and he would be worth far less.
1 comments

You're right that he's rich because he owns part of Amazon. You're not right that a stock price fall would make him not-rich.

The textbook way to price stocks is at the present value of future cash flows. That is, the company does make money, or will in the future, that can be returned to shareholders. Amazon takes in a ton of money, turns a profit, and could return some of that money to Bezos for him to spend. (Whether or not they actually do is a tax law triviality.) It wouldn't matter if the shares were priced at $1 or $1000, they would theoretically return the same cash to Bezos for him to spend, which is why he would still be rich.

He would still be rich, but not as crazy rich. And if he did want to return money to the share holders, it would come at the cost of reducing reinvestment into the company, probably lessening their moat.