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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?


To: i-node who wrote (466761)3/27/2009 12:56:31 AM
From: combjelly  Read Replies (2) | Respond to of 1574127
 
"Yeah, good idea. While you're at it, let's tell General Motors not to worry about recording all that debt they've got. Let's just let them issue stock (i.e., "print money") when it is time to pay the debt."

Well, they could. As long as they don't exceed the ceiling for the number of shares. And most companies will do that. However, when they ask the shareholders for a higher ceiling, there is often resistance. Why is that? Dilution. Selling more shares means each individual share is worth less. Which is why printing money is a last resort.

I guess I was wrong. You really don't understand how this works. Do you?