Is there any reason why Return on Capital should be higher than the general growth rate of the economy?

That's literally impossible because if the general return on capital were 5% then the economic growth rate would also be 5%, it's just an artificial standard to pressure individual businesses

>>17861063 (OP)
Because capital is the deviation from the baseline, growth rate only shows the baseline is moving.

>>17861085
If capital grows faster than the economy, doesnt that mean that capitals proportion of the economy keeps increasing, and the proportion of the rest of the economy shrinks?

>>17861063 (OP)
If your return on investment wasn't higher than the general growth rate then why would you waste your money investing in that specific company?

>>17861146
R isnt investment in a specific company, it's the average return on all capital invested in an economy.

>>17861165
OK, so the whole thing is set up to incentivise investment in general? Or am I being retarded here?

>>17861225
The whole thing is set up so RoI will grow faster than wages, with compound interest

>>17861268
So . . . to incentivise investment?

>>17861405
Incentivizing investment over wages and productivity seems a bad idea. Having capital set up to structurally grow faster than the productive economy also seems like a bad idea.

>>17861063 (OP)
because you're a numerology autist and like particular numbers to look a certain way?

>>17861954
>Incentivizing investment over wages and productivity seems a bad idea. Having capital set up to structurally grow faster than the productive economy also seems like a bad idea.
To you and me? Sure. We're not part of the group it was designed to benefit.