Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Your Nightmare

Since the return is minimized as well as the risk, would not the increased risk be justified by an increased return? As it stands today, the R&D budgets are maxed at the level of the "write-off" amount, give the corporations the decision making freedom and the potential pay-off may just cause an increase.

Of course, the point made by the other poster is that the "greedy" corporations won't reduce their prices, instead they will increase profits, investment and R&D. If his statements are true, then an increase in jobs would be expected.......

If his statements are not true, then the prices would be decreased.


180 posted on 08/27/2004 11:18:19 AM PDT by CSM (To spread the wealth the liberal is willing, he'll take YOUR dollar and keep his shilling. -albertp)
[ Post Reply | Private Reply | To 157 | View Replies ]


To: CSM
Since the return is minimized as well as the risk, would not the increased risk be justified by an increased return?
Not necessarily. Businesses don't always go for the riskiest investment now, even though it may potentially have greater rewards. What may be within a business's desired risk level now, may be out of it with the increase risk due to removing the write-off.
187 posted on 08/27/2004 11:38:43 AM PDT by Your Nightmare
[ Post Reply | Private Reply | To 180 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson