re: #72 Wendell Zurkowitz ((slave to the waffle light))

That sounds like trickle-down…

To a certain extent it is. But that doesn’t mean it’s necessarily wrong, either.

If Corporation X has $5m in profits, it has a choice - it can spend some or all of that money to expand (hiring new employees, opening new offices, buying stuff; either immediately or based on a plan for future growth); or it can issue dividends with some or all of that money.

But every dollar issued in dividends is one less dollar that can be reinvested in the business.