yeah, this whole line of reasoning is wrong. investment in the sense of deferred consumption is far from the binding constraint on economic growth and development. 1/

stock market investment largely represents consumption people do not need to be bribed to defer, a residual as income exceeds consumption at a given amenity level, where people decide insuring their future is more valuable than jumping to a more difficult amenity level. 2/

PMC equity investors like to imagine they are being paid reasonably for a useful and constructive role their investments play in the economy. it’s a nice story. it’s entirely mistaken in my view. /fin