What if there really is such a thing as a free lunch? What if there was a way to raise the money to pay for social-welfare programmes, such as pensions and health care, without imposing extra taxes? In fact, there is: national treasuries should establish Social Care Funds that borrow money at low interest rates and invest the proceeds in the stock market.of a century’s worth of data from 16 advanced economies, the return from investing in stocks was 6.
Here, it helps to think of asset markets as existing to allow trades between different kinds of people, and specifically to allow the young to save for their old age. Taking that approach implies that market volatility has nothing to do with economic fundamentals. Rather, it reflects the, who engage in orgies of buying and selling stocks and shares, fueled by self-fulfilling waves of optimism and pessimism.
But, although future generations are not yet around to trade in the asset markets, national treasuries can trade on their behalf. There is a massive free lunch staring us in the face. You and I can’t exploit it, and nor can
From where would they borrow money lol From private banks? Good luck getting low interest rates. The central bank? That's just inflation lmao This is the most 'i did business studies in high school and now i know how to fix the economy' thing i have ever read