>>"Paying dividends in no way guarantees the long-term survival of a company."
>Did you say that? I didn't say or imply that.
Oh yes you did. You said, and I quote: "Deere is still in business because they still pay dividends to their stock holders." Or should I not take your statements literally?
>Without a profit there are no dividends. >Without dividends there are no investors. >Without investors there is no company.
Not true on the first two counts, although I'll grant you the third point. There are many unprofitable or marginally profitable companies (such as the previously mentioned GM) that pay dividends. Whether or not to pay dividends is up to the board of directors, and they can and will pay dividends when there is no profit. This of course just starves the company of desperately-needed cash. As for there being no investors without dividends, that's an obvious, easily disproven falsehood. Apple, Amazon and Berkshire Hathaway, to name a few, have no trouble attracting investors even though they pay no dividends.
>Except... >When the US comes in to bail out all their lefty, union buddies.
Corporations in the twenty-first century have less to fear from Bolsheviks than they do from the corporate raiders who specialize in eviscerating healthy companies, sucking out their assets then leaving them saddled with massive debt. As a matter of fact, one of these so-called capitalists, after making a gazillion dollars gutting healthy companies, ran unsuccessfully for president in 2012. It seems the American people prefer marxists to robber barons.
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