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Is it really rent seeking though? Without a peg like gold, the dollar keeps loosing value. Even if a company stays with the same "real value", with dollar actu
by tm-guimaraes 5y ago
Is it really rent seeking though?
Without a peg like gold, the dollar keeps loosing value. Even if a company stays with the same "real value", with dollar actually being less valuable, it's fairly normally for people to park their savings in company ownership rather tan dollars. Are these people rent seeking? They simple want to keep their capital.
> you need to ensure that the count of dollars increases at a rate equal to the value of the assets being created.
How? You can't predict how business will do. If Apple/Tesla/Amazon/Microsoft will be much more efficient than yesterday or do a bad strategy decision.
Money printing shouldn't be related whatsoever to how you think the big companies will fare. Whoever is trading stock simply must understand that Prices are in dollars, and dollars are deflating, so you can't compare the prices with old prices in a simple way.