Does Finance Benefit Society?

Since the financial crisis, there has been a strong view that the financial sector has little benefit for society. The stock market is not a net supplier of capital - as much money is spent on share buybacks as is raised from new issuance. Moreover, most stock market trading is speculative side-bets between investors, with no new money being raised by firms. This talk will show that stock market trading may contribute to society even if does not lead to firms raising new capital. A lecture...