Cash serves as a universal means of payment for exchanging goods and services that everyone needs. For manufacturers to continue producing these goods and services, prices must be slightly higher than the market value of cash. This is because if the value of the goods or services produced falls below the cash, manufacturers or service providers will prefer to hold cash instead of producing these goods or services. Consequently, it is accurate to say that the value of cash is less than that of the goods or services. However, people desire cash because it functions as a means of payment endowed with “compulsory circulation power.” In other words, cash has no limits on the exchange of value and possesses the capacity to reward even human life. Due to its enforced value exchange by law, people consistently strive for cash, even if it holds less value than goods. Therefore, all economic indicators and expressions of wealth are converted into cash. - Joseph’s “just my thoughts”
A shareholder is the owner of a company. A shareholder is someone who invests capital in a company. There are three ways for shareholders to take money from the invested company: 1) become an executive or employee and receive wages, 2) receive dividends after settlement, or 3) receive remaining assets (liquidation property) excluding debts when the company is liquidated. A third party investing in the company is directly irrelevant to the existing shareholders in cash flow. Despite the shareholder owning the company, there is no way to share the surplus capital caused by the investments among the existing shareholders other than 1) and 2) except for company liquidation No. 3. Let me be clear: receiving an investment does not guarantee benefits for the company. It simply covers future costs and expenses in advance. Capital inducement means increasing the heavy duty of leaving profits, not being given profits unconditionally. - Joseph’s “just my thoughts”