Detailed market commentary at The Market Ticker
(The Year 2012 In Review)
You are not signed on; if you are a visitor please register for a free account!
|MarketTicker Forums Single Post Display (Show in context)||
User: Not logged on
|User Info||Where We Are, And Where We're Headed (2011); entered at 2010-12-30 17:59:58|
Regarding corporate value, it used to be that capital build a pulp mill or steel furnace, or bridge with an expected life of 40,50 or 100 years.
Nowadays the capital pays for the development of some technology or tool system/process. Even if the product takes off and pays off the development costs, there may be or may not be any "value" there. If you have followed the Michael Dell school of out sourcing, you and your vendors can not withstand any volatility if you are in long term production. Once you stop building them, the engineers and the manufacturing are dismantled, and you would have to start all over again.
The thought is just what does capital invest in inside the US economy?