Boeing shares hit another record high after the company boosted its quarterly dividend by a fifth and announced a $18bn share buyback programme.
A business fuelled by the world’s wealthiest people (you have to be to travel, and I am personally aware of this) and the defence sector is returning vast sums of cash to shareholders rather than invest it in new products, services and training with the aim of lifting the share price in the short term to, no doubt, trigger executive share price related incentive scheme payouts that will massively and wholly disproportionately increase the reward of a few in the company at cost to all the rest and society at large.
If you want to know why modern capitalism does not work, that’s why. It’s called rentierism by management. It’s rampant. It’s corrupting. And it’s undermining the way our economy and society works.
So, what happens to the money once it is outside Boeing? Those shareholders can either invest it or spend it, there’s nothing else they can do with it, is there?
What, we should demand that money stay inside extant companies so that only things done by extant companies gain investment?
It’s simply a putridly stupid complaint by the Senior Lecturer here.