Comment Re:Huh... (Score 1) 450
That is how it should work in theory.
Unfortunately in practice these days, the money tends to exchange hands between investors a fair few times before it finally gets to something that will actually use it to generate work. By that time, the investment must generate an obnoxiously high return in order to satisfy all of the middlemen, which can limit who qualifies for that investment.
Which is all part of the problem with finance these days. There is a huge, bloated infrastructure of money men that are moving money around, keeping a cut, and allowing precious little of it to actually go to work, at which point the returns have to be unreasonably high. Recipe for disaster, as we've been experiencing firsthand.