Loading ...It’s a wonder that anyone, particularly a savvy financier like John Doerr, could believe the capital exists to attempt the rebuilding of America, let alone try to turn Motherf**ker Nature uncharacteristically benign. Tens of trillions of dollars of vaporous savings are tied up in glorified advertising firms like Google and Facebook, in profitless food delivery services, driverless car- and other AI-hubris, and in purveyors of burritos, virtual entertainment and trendy consumer goods. That is what economists mean when they refer to malinvestment: the channeling of savings — in this case vast sums of it — into companies that either sit on it, squander it, or use it to buy back their own shares. Stocks have become grotesquely overvalued as a result, and it is delusional to think any significant portion of the hoarded capital can ever be freed up to rebuild America’s dilapidated cities, highways, bridges, transit systems, railways and airports. The savings are illusory to begin with, and even if every penny could be diverted into infrastructure, it is absurd to think the bumblers, grafters and lackeys of big business on Capitol Hill could incentivize the process so that it would create anything of enduring economic value.
The Morning Line Published Sunday, November 15, 2021, at 7:30 p.m. ET America’s Savings Are Trapped in a Bubble
Rick Ackerman today=
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