J.W. Mason is a Fellow at the Roosevelt Institute, where he works on the Financialization Project, and an assistant professor of economics at John Jay College, CUNY. He blogs on economics and politics at The Slack Wire. Follow him on Twitter @jwmason1.

The goal of this paper is to address the most common objections to the idea that short-termism—the focus on short time horizons by both corporate managers and financial markets—is a serious problem for the U.S. economy. These objections fall into three broad categories: short-termism is not real (because of an apparent increase in business investment),

This paper provides evidence that the strong empirical relationship of corporate cash flow and borrowing to productive corporate investment has disappeared in the last 30 years and has been replaced with corporate funds and shareholder payouts. Whereas firms once borrowed to invest and improve their long-term performance, they now borrow to enrich their investors in

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