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> The compensation for created value is based on market rate for both work and capital. This equivalence doesn't make much sense unless there's a widespread ph

> The compensation for created value is based on market rate for both work and capital. This equivalence doesn't make much sense unless there's a widespread phenomenon of businesses "firing" owners in favor of other capital-providers who will accept lower returns.

overrun11 4y ago
Isn't this basically what a recapitalization is?
- necovek 4y ago
  Usually driven by existing majority owners, with the goal still being to increase their own absolute wealth even if their relative ownership decreases.