22
posted ago by defiant_liberty ago by defiant_liberty +22 / -0

Most CEO's today, don't make their money by providing goods and services to the market, they make the bulk of their money from stock buybacks financed (indirectly) by the central bank. The minute they decided to do the 2008 bailout, this was inevitable. The central bank set interest rates to zero for 10 years to "save the system". But the thing is, if your corporation (for example) was earning 7% per year, and the Fed is loaning into the market at 0-1% per year, then this guarantees that an infinite amount of money is going to flood into buying your stock till that value gets maxed out.

None of these corporations are beholden to the market anymore, they are all beholden to the system. Every last one of them is sucking the tit of the government imposed central bank to get their milk. Of course, not even stock buybacks can make your company survive if you can't produce anything of value for the market. But the system has a solution to this too, have the government effectively print up money and bail everybody out all the time. Once again, they have become more beholden to the government than ever.

However, the market is not just about a bunch of assholes throwing around money. The market is also a tool for clearing out behavior and actions that are unproductive for society. When the market isn't allowed to perform that clearing function, then unproductive behavior tends to grow out of control like a cancer, create instability, and overrun society. And behold, now we have woke culture and political insanity everywhere.