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abugheratwork | 6 years ago

deogeo wrote: > Is a car manufacturer going to take more risks because of low interest rates?

It seems possible. Vehicles change every year. The amount and ways they change must be affected by available funding, perceived risk, and probably lots of other factors. A lower interest loan could make a risky prototyping project more attractive.

Even if car companies were really stuck doing one thing, shareholders are not. If car companies produce a slow, steady profit, and other investments are producing higher profits on average, chaotically, people will divest from cars and invest in a diverse portfolio of chaos.

I agree with what seems like your point, though. I don't understand propping up markets and businesses in order to help people, when we could just help people.

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