A large and growing sector of the U.S. economy produces nothing of value. Nada. Zilch.
Crypto. Derivatives. Private equity. Every winner comes at the expense of a current or future loser.
Shouldn’t a rational society heavily tax this zero-sum work? https://robertreich.substack.com/p/the-economys-large-and-growing-unproductive#details
@rbreich You know, I'm glad you mention this. There's one thing I've been really looking for and that is a reasonable explanation on how stock valuations actually produce value? I know in the past it was a "loan" of sorts for companies to raise money and pay dividends, but at the moment there are no dividends and the company tries to show no profit.
What is driving value? Why is it still useful? Is it all just one big casino?
I assume there are some good articles or books to grok it.
Robert Reich
Dmitriy Likhten