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If investors decided to demand 1,000,000% ROI we wouldn't suddenly have hyperinflation. Investors can 'demand' whatever they like; there's no guarantee they're
by onion2k 5y ago
If investors decided to demand 1,000,000% ROI we wouldn't suddenly have hyperinflation. Investors can 'demand' whatever they like; there's no guarantee they're going to get it, and most of the time they won't. It's just their way of exerting control over a company.
When wages go up they actually go up, which, at least according to conservative economic theory, leads to inflation. In practice though it often doesn't.
- lotsofpulp 5y ago> . Investors can 'demand' whatever they like; there's no guarantee they're going to get it, and most of the time they won't. And yet it is all hands on deck with both political parties when the stock market does not deliver 10% annual growth. It is pretty clear that the weight of the federal government and the federal reserve is behind making sure VOO keeps consistently going up over the timescale of decades if not a few years. But when wages for the bottom 80% stagnated for decades, there is debate on whether or not anything needs to be done.