/biz/ - Business & Finance

>>10345088
>not inflation adjusted

>>1367005
>why are you still on 4chan at 36?

when do you think you're going to stop posting on 4chan? it's not going to happen

Stock-market centred financial systems are not even beneficial when you take into account their costs of operation. Finance claims to efficiently direct society’s savings towards their optimal investment pursuits but finance in reality has little to even do with real investment and it's generally poor when it tries allocating capital. The stock-markets prime role is just arrangement and rearrangement of ownership patterns. The prominence of institutional investors in the stock market has just increased rentier power over corporate policy and portfolio managers keep demanding higher stock prices. Wealthier households plunged into stocks (through the medium of mutual funds) and poorer households keep going deeper into debt resulting in the poor borrowing from the wealthy at interest.

Bank-centered financial systems are much better at actually allocating real capital where controlling interests are typically in the hands of large banks or close business partners like suppliers and customers, and it’s practically impossible for firms to be bought and sold on the open market. You don't end up with all the expenses of all the people who under-write, analyze, trade, and sell securities and the inflationary effects they create.