It’s good to have a rational examination of this subject, but the likelihood of changing the mind of any politician or voter is just about zero. Buybacks and stock options are the province of the haves, not the have-nots.

As I write this, the government is busily providing every backstop they can think of to protect businesses from failing amid the Covid-19 shutdown. Companies used to see a virtue in keeping down debt and holding extra cash. Bad things happen.

Modern companies have been encouraged to substitute “cheap” debt for expensive equity. This minimizes the cost of capital – supposedly – and discourages hostile takeovers. If and when government backstops don’t work, it will be time to rediscover the benefit of a safer balance sheet.