Ummm, well, it’s capitalism. Besides, why is a 3% dividend so unreasonable for stock holders?
3%? I get at least 8% and I convert some of my fiat dollars into gold and silver.
Borrowing here at 2% to repay back when interest rates hit 10% when you can move money from overseas subsidiaries to US currency is not a bad business move.
I think the companies are borrowing while inflation is low and reinvesting in their businesses, mostly overseas or in automation. Automation raises productivity without much in worker wages, while overseas investment raises profits abroad.
So by building up stock prices here, they generate the money to build up profitability abroad and at home regardless of the US interest rates.
Middle America wages have been stagnant for well over a decade. I guess that's reasonable.