Timeline for Why does the US government not invest in the stock market?
Current License: CC BY-SA 4.0
7 events
| when toggle format | what | by | license | comment | |
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| Mar 13, 2020 at 19:07 | comment | added | Queue Mann | Investing runs completely counter to the ability to tax its citizens. The government doesn't need to invest to generate income. Taxation, by its very definition, is the government's income. It issues debt when tax revenue no longer covers the cost to run government programs. Why risk tax revenue in equities when all they can do is raise taxes? | |
| Mar 13, 2020 at 7:02 | history | bumped | CommunityBot | This question has answers that may be good or bad; the system has marked it active so that they can be reviewed. | |
| Feb 12, 2020 at 15:43 | comment | added | heh | Sovereign wealth funds (at least in theory) generate their revenues without resorting to monetary policy. For example, Norway's fund is supported by royalties from oil and gas operations. But if you look at the holdings of Norway's fund (see here nbim.no/en/the-fund/holdings/holdings-as-at-31.12.2018/…), you will see that NONE of it is held in Norway-domiciled companies. | |
| Feb 12, 2020 at 5:46 | comment | added | fantastic peace and prosperity | Governments outside the US sometimes do something like that, when they have excess funds... Google "sovereign wealth fund". (Per @BBKing's comment that excess situation typically doesn't apply to the US.) With such funds, the issue is what prudential measures apply it, so the "nation's wealth" isn't wasted in some market crash etc. | |
| Feb 12, 2020 at 4:48 | comment | added | BB King | To invest in stocks you need to first spend money. To issue debt you first get money. The government issues debt to get money to cover expenditures in excess of revenues. | |
| Feb 12, 2020 at 4:22 | answer | added | Mike J | timeline score: 3 | |
| Feb 11, 2020 at 22:21 | history | asked | Bravo | CC BY-SA 4.0 |