[lbo-talk] The shock doctrine

[Yoshie Furuhashi]

On 9/16/07, Doug Henwood <dhenwood at panix.com> wrote:
>
> On Sep 16, 2007, at 10:21 AM, Shane Mage wrote:
>
> > Whenever, in the past, there were plentiful profitable investment
> > arenas,
> > corporations didn't waste their investible capital on stock buy-backs.
> > Still less did they go into debt to do so.
>
> Going into debt to fund buybacks suggests that it's not an absence of
> investment opportunities that's driving the phenomenon - it's the
> shareholders demanding it.

But if shareholders found investments more profitable than
debt-financed buybacks, wouldn't they demand the former rather than
the latter?
-- 
Yoshie