Should people be mega-rich?

  • Thread starter Thread starter spagina
  • Start date Start date
No they don't. The board will make sure that most cash is invested back to grow the company. Two of the most common used ratios is in fact determining if the company has too much cash on hand, which is a bad thing unless it's there to pay off interest, capital costs, dividends (Your point),that sort of thing.

And even then, dividends aren't huge pools of cash as the stock usually does better when there isn't a huge dividend at the end of the year but still strong performance. This usually means that companies are investing it in their future instead of screwing with their cost of capital.

There are exceptions like certain huge tech companies.
 
Without knowing the context, I'm gonna make a strong guess he was talking about monarchy/feudalism, nrabroad
meritocracy where people are allowed to get as rich as they can by their own efforts.
 
Back
Top