Of course they’re sitting on cash - my father did the same thing in the ‘30s with his business during the days of FDR.
One of the things which really aren’t written about in the 1930s....is that folks did make money....and just sat on it for the most part. No one truly felt secure anymore. They can all talk about FDR and all the infrastructure that he built. But in the end...we had money in early and mid-1930s to take off and be prosperous again, and we simply didn’t do it. The same thing exists today. And no, they will not pay out dividends to stock-holders, until they know how stable the situation really is.
I will offer this prospective as well. Once we turn some corner...people start feeling really positive....the economy will take off, and we are looking at one of the best economic periods of the past 100 years. The bond rating goes back AAA, and stocks will soar.
Exactly!
0bama with his directives has forced business to "hold" for lack of faith in investment.
Hell, I'm doing the same at home...