I think it’s more accurate to look at it as the same kind of survivorship bias as the companies themselves. Investors aren’t voters or politicians, they’re pools of capital. The bigger the pool, the more sway they have over things. If an investor were to consistently vote in such a way that did not maximize their returns, their pool of capital would shrink relative to those who do. Thus over time, the most influential investors will be the selfish ones and the less greedy ones will be naturally pushed out.
Thinking about it terms of them “wanting more money” makes it seem like they are a static entity with opinions and if only we could get better ones things would be ok. It ignores the way in which capitalism is a process that produces the outcomes we see. It’s an inevitability that an economy run on these principles will turn out this way.
And technically never happens because investors like money and want money (After all, why they would invest otherwise?)
I think it’s more accurate to look at it as the same kind of survivorship bias as the companies themselves. Investors aren’t voters or politicians, they’re pools of capital. The bigger the pool, the more sway they have over things. If an investor were to consistently vote in such a way that did not maximize their returns, their pool of capital would shrink relative to those who do. Thus over time, the most influential investors will be the selfish ones and the less greedy ones will be naturally pushed out.
Thinking about it terms of them “wanting more money” makes it seem like they are a static entity with opinions and if only we could get better ones things would be ok. It ignores the way in which capitalism is a process that produces the outcomes we see. It’s an inevitability that an economy run on these principles will turn out this way.