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To: Jimmy Valentine

I read the article, and the author makes some very interesting points. One that caught my eye is that a lot of companies are actually borrowing money in order to inflate the value of their stock and pay dividends. Call it “capitalism” if you want, but that doesn’t sound like a recipe for growth in the long run. That sounds more like a company’s leadership is getting ready to bail out while they can.


7 posted on 03/07/2015 6:07:21 PM PST by Alberta's Child ("It doesn't work for me. I gotta have more cowbell!")
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To: Alberta's Child

” a lot of companies are actually borrowing money in order to inflate the value of their stock and pay dividends.”

The news has been full of stories about companies doing this BECAUSE there is a very high tax penalty if the companies repatriate foreign earnings to pay dividends.
Yet these guys want more taxes...


11 posted on 03/07/2015 6:14:43 PM PST by mrsmith (Dumb sluts: Lifeblood of the Media, Backbone of the Democrat/RINO Party!)
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To: Alberta's Child
Call it “capitalism” if you want, but that doesn’t sound like a recipe for growth in the long run.

Corporate thinking isn't focused on the long run. It's focused on next quarter's earnings and what effect that has on the stock price.

29 posted on 03/08/2015 6:09:51 AM PDT by DoodleDawg
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To: Alberta's Child

You seem to be the only one who read that far into the article :)


30 posted on 03/08/2015 8:12:43 AM PDT by Lorianne (fed pork, bailouts, gone taxmoney)
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